Question
Suppose a firm has the following information. The Marginal Product of Labor for their production is MPL = 200 + 10L - 0.24L 2 .
Suppose a firm has the following information. The Marginal Product of Labor for their production is MPL = 200 + 10L - 0.24L2. Further assume that the current price for their output is $5 per unit and the wage rate is $25 per hour. Calculate the optimal number of labor hours that the firm should hire.
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Macroeconomics
Authors: Andrew B. Abel, Ben S. Bernanke, Dean Croushore, Ronald D. Kneebone
8th Canadian Edition
134646355, 9780134842615 , 978-0134646350
