Suppose that a firm's only variable input is labor. The firm increases the number of employees from

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Suppose that a firm's only variable input is labor. The firm increases the number of employees from four to five, thereby causing weekly output to rise by two units and total costs to increase from $3,000 per week to $3,300 per week.
a. What is the marginal physical product of hiring five workers instead of four?
b. What is the weekly wage rate earned by the fifth worker?
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Economics Today

ISBN: 978-0132554619

16th edition

Authors: Roger LeRoy Miller

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