Emily owns a small dress factory. She notices that, when she added her brother to the payroll, the total product of labor was maximized. We can therefore conclude that Select one: the marginal product of labor is equal to the average product of labor. O b. the marginal product of labor is maximized. O c. the marginal product of labor is zero. O d. the law of diminishing marginal returns has set in.

Emily owns a small dress factory. She notices that, when she added her brother to the payroll, the total product of labor was maximized. We can therefore conclude that Select one: the marginal product of labor is equal to the average product of labor. O b. the marginal product of labor is maximized. O c. the marginal product of labor is zero. O d. the law of diminishing marginal returns has set in.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter11: The Firm: Production And Costs

Section: Chapter Questions

Problem 5P

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