Figure 18-1 OUTPUT (Units) 28 71 26 23 8 1 2 3 4 LABOR (Number of workers) 5 6 Refer to Figure 18-1. Suppose the firm sells its output for $14 per unit, and it pays each of its workers $33 per day. When the number of workers increases from 4 to 5, the O marginal revenue is $42 per unit of output, and the marginal cost is $33 per unit of output. O value of the marginal product of labor is $99, and the marginal cost per unit of output is $33. O value of the marginal product of labor is $42, and the marginal cost per unit of output is about $11. O firm's profit increases.

Figure 18-1 OUTPUT (Units) 28 71 26 23 8 1 2 3 4 LABOR (Number of workers) 5 6 Refer to Figure 18-1. Suppose the firm sells its output for $14 per unit, and it pays each of its workers $33 per day. When the number of workers increases from 4 to 5, the O marginal revenue is $42 per unit of output, and the marginal cost is $33 per unit of output. O value of the marginal product of labor is $99, and the marginal cost per unit of output is $33. O value of the marginal product of labor is $42, and the marginal cost per unit of output is about $11. O firm's profit increases.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter13: Firms In Competitive Markets

Section: Chapter Questions

Problem 7PA

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