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Given That W Is the Wage Rate and MPL is

Question 30

Multiple Choice

Given that w is the wage rate and MPL is the marginal product of labor (the only variable input) ,w/MPL shows:


A) the extra output obtained from hiring one more worker.
B) the marginal cost of producing one more unit of output.
C) the average variable cost of hiring one more unit of labor.
D) the marginal product from hiring one more unit of labor.

Correct Answer:

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