-The above table has the total product schedule for Joe's Barber Shop. Joe charges $6 per haircut. The firm's value of marginal product of labor for the third worker is equal to

Question

Quizplus · Accepted Answer

The value of marginal product of labor (VMPL) is calculated by multiplying the marginal product of labor (additional haircuts by the third worker) by the price per haircut ($6). If the third worker increases total output by 8 haircuts, then VMPL = 8 * $6 = $48.

-The Above Table Has the Total Product Schedule for Joe's