If the market wage for electrical engineers in the United States is $50 per hour, then we know that the marginal product of electrical engineers is:

Question

Quizplus · Accepted Answer

If the market wage for electrical engineers is $50 per hour, then we can infer that the value of their marginal product is at least $50 an hour as the market wage reflects the value of the marginal product. This is because firms would not pay workers more than the value of their marginal product, otherwise they would make losses. Therefore, we can eliminate choices A and B. It is possible that the marginal product is less than $50 an hour, but it is unlikely that firms would pay wages higher than the marginal product they produce. Hence, the best answer is choice D - at least $50 an hour.

If the Market Wage for Electrical Engineers in the United