Table 18-6Marginal Productof LaborValue of MarginalProduct of LaborMarginalProfitLabor OutputWage300500600650300200$600AA$200$300$300$300$3001$3002$1003100BB4CCDD|-$20011. Refer to Table 18-6. What is the value for the cell labeled BB?a. $100b. $300с. -$100d. $200

In the give table, cell BB represents the value of marginal profit corresponding to output level of 600. The value of marginal product of labor (VMPL) corresponding to output level of 600 is $200 The wage rate is $300Marginal profit = Value of marginal product of labor - Wage rate => Marginal profit = $200 - $300 => Marginal profit = -$100 Hence, the value for the cell BB is -$100 Answer: Option (C), i.e., -$100

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Marginal Product of Labor Value of Marginal Product of Labor Marginal Profit Labor Output Wage --- --- --- --- 300 $600 AA $200 DD $300 $300 $300 $300 1 300 $300 500 600 650 200 100 CC $100 |BB -$200 2 3 4 11. Refer to Table 18-6. What is the value for the cell labeled BB? a. $100 b. $300 c. -$100 d. $200

Marginal Product of Labor Value of Marginal Product of Labor Marginal Profit Labor Output Wage --- --- --- --- 300 $600 AA $200 DD $300 $300 $300 $300 1 300 $300 500 600 650 200 100 CC $100 |BB -$200 2 3 4 11. Refer to Table 18-6. What is the value for the cell labeled BB? a. $100 b. $300 c. -$100 d. $200

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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10. How is marginal product affected if workers are added who are equally good at the job?a. The increase in workers will eventually cause marginal output to fall.b. The value of marginal output increases more with each additional good worker.c. With equivalent workers, marginal productivity will neither rise nor fall.d. Marginal quality will improve as the added workers gain experience.
40.) What was one negative consequence of the development of factories? a. People migrated to cities for factory jobs b. the first textile factory was built in England c. Diseases spread quickly through cramped factory neighborhoods
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Marginal Produt and Resources How would you determine the demand for a factor of production? What factors influence the supply and demand for labor? Examine how those factors impact market demand for labor. How do labor unions try to increase the demand for labor? What has made labor unions such an integral part of the workforce? What is the difference between the rates of return for a renewable and nonrenewable resource? How do the rates of return on capital and land differ between a renewable resource and nonrenewable resource? How does the growing demand for food, fuel, and export affect the market for land?
Economics Which of the following statements best describes labor demand? a. The long-run labor demand is more elastic to wage rate than the short-run labor demand. b. The labor demand of a firm is more elastic to wage rate than the labor demand of the industry to which the firm belongs. c. In the short-run, firms have little scope in adjusting capital stock. Therefore, labor demand decisions of firms rest on how the marginal revenue from labor input is compared to the marginal cost of labor input. d. All of the above.