Really need help on the second page. Thanks!

The Push-Up Machine FIRM in a Perfectly Competitive Labor Market $60+ Groove-econ Incorporated has invented a new machine that generates energy from human push- ups. You have just been hired as the manager in charge of hiring workers. Your goal is to make sure 50 this firm hires the right amount of workers to maximize profit. Assume that you are hiring workers in a perfectly competitive LABOR MARKET and that the price of electricity is constant. 10 1. Define Marginal Resource Cost (MRC)- Supply of Labor Wane IS 35 30 2. Explain why MRC is sometimes called MFC 25 3. Explain why the MRC is the equal to the supply of labor 20 4. Explain why MRC/Wage is constant (graph MRC on back) 15 Demand for Labor 5. Define Marginal Revenue Product (MRP)- 5 6. Identify how to calculate a workers MRP- 2 6 7. Calculate the MP and MRP assuming that each push-up can generate $1 worth of energy: Quantity of Workers Workers Total Product |Marginal Product MRP @ $1 MRP @ $2 Shifting Demand 1 1. MRP depends on two variables. Marginal Product and the price of the product being produced. For each of the following, identify whether MP or Price changes and indicate if the demand (MRP) UAW N increase or decreases. Situation Marg. Product Price Demand/MRP The price of electricity falls Stronger workers increases push-up output significantly Consumers prefer energy generated by wind New and improved machines increase the amount of 8. Explain why the MRP is the equal to the demand of labor electricity each push-up generates During the hot summer, consumer use more electricity 12. Assume the demand increases for electricity produced by this firm and now each push-up can 9. Explain why MRP eventually begins to fall (graph MRP on back) generate $2 worth of energy. How many workers should this firm hire? Explain 13. Draw an industry and firm in a perfectly competitive labor market: 10. Identify the number of workers that the firm should hire. Explain how you determined your