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Problem 20-03 {algal The table below lists the marginal product per hour of workers in a lightbulb factory. Lightbulbs sell for $2 each. and there
Problem 20-03 {algal The table below lists the marginal product per hour of workers in a lightbulb factory. Lightbulbs sell for $2 each. and there are no costs to producing them otherthan labor costs. Compute the value ofthe marginal product for each additional worker. Instructions: Enter your responses as whole numbers. Marginal Product Number of (Lightbulhs per workers hour a. If the going hourly wage for factory workers is $36 per hour. then the factory manager should hire E workers. If instead the hourly wage for factory workers is $48 per hour, thE'i the factory manager should hire 3 workers. b. Assume that lightbulbs instead sell for $3 each. Ifthe going hourly wage for factory workers is $36 per hour, then the factory manager should hire E workers. lf instead the hourly wage for factory workers is $48 per hour. then the factory manager should hire 7" workers. c. Suppose the supply of factory workers in the town in which the lightbulb factory is located is 8 workers {in other words, the labor supply curve is vertical at 8 workers}. lf lightbulbs sell for $2 each, the equilibrium real wage for factory workers in the town will be '35 per hour, and iflightbulbs sell for $3 each it will be $ per hour
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