Demand for Resources A small manufacturing company has the following daily relationship between labor and output: Units of Total Labor Product 1 2 21 3 35 4 52 5 61 65 7 61 If the firm sells into a perfectly competitive market and the equilibrium price is $3.25 per unit, compute the following: 1 Marginal Units of Marginal Revenue Labor Product Product 1 2 3 4 5 7 2 How many workers will the firm hire is the market wage rate (includining benefits) is $30.00? Wt 3 How many workers will the firm hire is the market wage rate(includining benefits) is $20.00?
Demand for Resources A small manufacturing company has the following daily relationship between labor and output: Units of Total Labor Product 1 2 21 3 35 4 52 5 61 65 7 61 If the firm sells into a perfectly competitive market and the equilibrium price is $3.25 per unit, compute the following: 1 Marginal Units of Marginal Revenue Labor Product Product 1 2 3 4 5 7 2 How many workers will the firm hire is the market wage rate (includining benefits) is $30.00? Wt 3 How many workers will the firm hire is the market wage rate(includining benefits) is $20.00?
Chapter12: Labor Markets And Labor Unions
Section: Chapter Questions
Problem 1.1P
Related questions
Question
![Demand for Resources
A small manufacturing company has the following daily relationship between labor and output:
Units of
Total
Labor
Product
1
2
21
3
35
52
61
65
61
7
If the firm sells into a perfectly competitive market and the equilibrium price is $3.25 per unit,
compute the following:
Marginal
Units of
Marginal
Product
Revenue
Labor
Product
1
2
3
5
7
How many workers will the firm hire is the market wage rate (includining benefits) is $30.00? Wł
3
How many workers will the firm hire is the market wage rate(includining benefits) is $20.00?
4 If the equilibrium price per unit of output dencreases, what would you expect
to happen to the number of workers hired?
If the firm sells in a imperfectly competitive market such that price per unit starts at $4.50 per ur
declines by $0.10 per unit as more as sold,
what do you think would happen to the number of labor units hired at $30.00 per unit?
5
2.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8ea3a059-0a8a-4779-bed8-ef5706e6b286%2Fddb15997-81e2-46dd-9045-08db1fbf5602%2F91fq05k_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Demand for Resources
A small manufacturing company has the following daily relationship between labor and output:
Units of
Total
Labor
Product
1
2
21
3
35
52
61
65
61
7
If the firm sells into a perfectly competitive market and the equilibrium price is $3.25 per unit,
compute the following:
Marginal
Units of
Marginal
Product
Revenue
Labor
Product
1
2
3
5
7
How many workers will the firm hire is the market wage rate (includining benefits) is $30.00? Wł
3
How many workers will the firm hire is the market wage rate(includining benefits) is $20.00?
4 If the equilibrium price per unit of output dencreases, what would you expect
to happen to the number of workers hired?
If the firm sells in a imperfectly competitive market such that price per unit starts at $4.50 per ur
declines by $0.10 per unit as more as sold,
what do you think would happen to the number of labor units hired at $30.00 per unit?
5
2.
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