Suppose a campus restaurant increases the number of workers it hires from 2 workers per day to 4 workers per day. As a result, its total revenue increases from $90 per day to $200 per day. Instructions: Enter your answers rounded to two decimal places. a. Assuming that each worker is equally productive, what is the marginal revenue product per day of each additional worker? 2$ b. Assuming the restaurant is using its resources in a profit-maximizing way, and that each worker works 5 days each week, what is the current weekly wage rate in the labor market? 2$ per week
Suppose a campus restaurant increases the number of workers it hires from 2 workers per day to 4 workers per day. As a result, its total revenue increases from $90 per day to $200 per day. Instructions: Enter your answers rounded to two decimal places. a. Assuming that each worker is equally productive, what is the marginal revenue product per day of each additional worker? 2$ b. Assuming the restaurant is using its resources in a profit-maximizing way, and that each worker works 5 days each week, what is the current weekly wage rate in the labor market? 2$ per week
Chapter11: The Firm: Production And Costs
Section: Chapter Questions
Problem 15P
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![Suppose a campus restaurant increases the number of workers it hires from 2 workers per day to 4 workers per day. As a result, its
total revenue increases from $90 per day to $200 per day.
Instructions: Enter your answers rounded to two decimal places.
a. Assuming that each worker is equally productive, what is the marginal revenue product per day of each additional worker?
$
b. Assuming the restaurant is using its resources in a profit-maximizing way, and that each worker works 5 days each week, what is the
current weekly wage rate in the labor market?
per week](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F35fe8551-5b1e-44e5-a578-643ebe48bccd%2Ffc11d8d1-9a8f-4639-b686-ee220de8d503%2Fpha6fg2_processed.png&w=3840&q=75)
Transcribed Image Text:Suppose a campus restaurant increases the number of workers it hires from 2 workers per day to 4 workers per day. As a result, its
total revenue increases from $90 per day to $200 per day.
Instructions: Enter your answers rounded to two decimal places.
a. Assuming that each worker is equally productive, what is the marginal revenue product per day of each additional worker?
$
b. Assuming the restaurant is using its resources in a profit-maximizing way, and that each worker works 5 days each week, what is the
current weekly wage rate in the labor market?
per week
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