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Answer the following questions based on the short run production data above: calculate the marginal product of each additional unit of labor, at what level
Answer the following questions based on the short run production data above: calculate the marginal product of each additional unit of labor, at what level of labor input does the firm begin to experience diminishing marginal returns, explain the economic rationale of diminishing marginal returns in the short run, what is the maximum number of labor this firm would hire?
Units of Labor | Total product | Marginal Product | Average product |
0 | 0 | ||
1 | 3 | ||
2 | 7 | ||
3 | 10 | ||
4 | 12 | ||
5 | 12 | ||
6 | 11 |
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