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You have the following information regarding the marginal product of your workers: Workers Total Output Marginal Product 0 0 ----- 1 16 16 2 30

You have the following information regarding the marginal product of your workers:

Workers Total Output Marginal Product
0 0 -----
1 16 16
2 30 14
3 40 10
4 48 8
5 53 5
6 56 3
7 58 2
8 59 1

If the price you sell your product for is $18, and the wage you must pay your workers is $140, which of the following is correct based on what we discussed in the videos?

Multiple Choice

  • You will hire the second worker but not the third
  • You will hire the third worker but not the fourth
  • You will hire the fourth worker but not the fifth
  • You will hire the fifth worker but not the sixth

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