Problem #2: Marginal revenue product is defined as the change in total revenue that results from the employment of an additional unit of a resource. A widget producer wishes to determine how the addition of pounds of rubber will affect its MRP and profits. See the table below, and answer each of the questions. (40pts/1 Opts each) ~ Poundsofrubber ~ Number of widgets ~ Price (quantity of (total product) of widgets (8) resource) 0 0 - 1 20 12 2 35 10 3 45 8 4 50 6 5 53 4 a. The marginal product of the 3" pound of rubber is ) b. The marginal revenue product of the 3" pound of rubber is ; c. The price of rubber is $110 per pound. To maximize profit, the widget producer should produce d. The price of rubber is $110 per pound. To maximize profit, the widget producer should buy and use: /Problcm #3: See the table below. and answer each of the questions. $ Labor Market % A Typical Employer a. If the market represented in exhibit above is allowed to operate freely, total employment in the market will be b. Ifaunion raises the wage to $4, total employment in the market will be ) c. The approximate total surplus of labor after the union wage is d. If the market is allowed to operate freely, total employment by the typical employer (illustrated in the right-hand panel) will be 2 e. If a union raises the market wage to $4, total employment by the firm (in the right-hand panel) will be Question d Describe and show how a tariff works. Be sure to show graphically how it works