When Caroline's dress factory hires two workers, the total product is 50 dresses.When she hires three workers, total product is 60, and when she hires four workers, total product is 75.The slope of the marginal product curve when two to four workers are hired is
A)upward sloping.
B)downward sloping.
C)vertical.
D)horizontal.

Question

Quizplus · Accepted Answer

The marginal product is the change in total product divided by the change in the number of workers. When two workers are hired, the marginal product is (60-50)/2 = 5. When three workers are hired, the marginal product is (75-60)/2 = 7.5. When four workers are hired, the marginal product is (90-75)/2 = 7.5. Therefore, the marginal product curve is upward sloping.

When Caroline's Dress Factory Hires Two Workers, the Total Product