If the marginal product of labor is constant in labor, then a market labor demand curve is:

Question

Quizplus · Accepted Answer

If the marginal product of labor is constant, it means that every additional unit of labor hired is producing the same amount of output as the previous unit. This implies that the firm is indifferent between hiring more or fewer workers as long as they are hired at the same wage rate. Therefore, the demand for labor is constant, resulting in a flat market labor demand curve.

If the Marginal Product of Labor Is Constant in Labor