micro

Marginal revenue product measures the:

• amount by which the extra production of one more worker increases a firm's total revenue.

• 1. decline in product price that a firm must accept to sell the extra output of one more worker.

• 1. increase in total resource cost resulting from the hire of one extra unit of a resource.

  2. 

• 1. increase in total revenue resulting from the production of one more unit of a product.

Marginal product is:

• 1. the output of the leastskilled worker

• 1. a worker's output multiplied by the price at which each unit can be sold.

• the amount an additional worker adds to the firm's total output.

• the amount any given worker contributes to the firm's total revenue.

Assume labor is the only variable input and that an additional input of labor increases total output from 72 to 78 units. If the product sells for $7 per unit in a purely competitive market, the MRP of this additional worker is:

• $6

• $12

• $36

• $42

A competitive employer should hire additional labor as long as:

• the MRP exceeds the wage rate

• 1. the wage rate is less than MP.

• 1. average product exceeds MP.

• MC exceeds MR.

Marginal resource cost is:

• 1. the increase in total resource cost associated with the production of one more unit of output.

• 1. the increase in total resource cost associated with the hire of one more unit of the resource.

• 1. total resource cost divided by the number of inputs employed.

• 1. the change in total revenue associated with the employment of one more unit of the resource.

The change in a firm's total revenue that results from hiring an additional worker is measured by:

• the marginal product.

• the marginal revenue.

• the marginal revenue product.

• the average revenue product.

Tags

CCSS.HSA.APR.B.2

If the wage rate increases:

• 1. a purely competitive producer will hire less labor, but an imperfectly competitive producer will not.

• 1. an imperfectly competitive producer will hire less labor, but a purely competitive producer will not.

• a purely competitive producer and an imperfectly competitive producer will both hire less

  labor.

• an imperfectly competitive producer may find it profitable to hire either more or less labor.

Refer to the given data. How many units of output are produced when 2 workers are employed?

• 4

• 16

• 24

• 10

Tags

CCSS.HSF.IF.A.2

Refer to the given data. What is the marginal product of the sixth worker?

• 2 units

• 3 units

• 4 units

• 5 units

Refer to the given data. At what price does each shoe shine sell?

• $1

• $2

• $3

• $2.50