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You work at a pizza shop where a crew is three people: one to take orders and run the cash register, one to prepare the
You work at a pizza shop where a crew is three people: one to take orders and run the cash register, one to prepare the pizzas, and one to put pizzas in the oven and in boxes after they are baked. For most shifts, there are so many orders that the wait time for pizzas is longer than your manager desires. She acquires another commercial oven but is puzzled when pizza output for each three-person crew goes up only slightly. You are not puzzled because you realize: Question 5 options: the shop needs to revise the list of toppings available to sell more pizzas. capital, in the form of the new oven, has diminishing marginal returns. orders for pizzas determine how many pizzas the shop can make, not the number of ovens. the shop was in equilibrium, so the new oven resulted in excess supply
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