Module 4 Problem Set 1. Assume that the firm operates in perfectly competitive product and labor markets, with a product price of $10 and a daily wage rate of $300. Fill in the table using the daily production function: Q =5L + 10L2- L3 Labor L Output (Q Average Product (AP) Marginal Product (MPy) Marginal Revenue (MR) Marginal Revenue Product (MRP,) Daily Wage Rate (w) 2. How many workers will a profit maximizing firm what to hire? Explain 3. What will happen to the firm's demand for labor if the wage rate falls to $160? Explain 4. Describe what would change in the table if this firm held a monopoly in the product market? How would labor demand for the profit maximizing monopolist compare to labor demand under perfect competition in the product market