-The above table shows the short-run total product schedule for the campus book store. At what levels of books sold per hour will the marginal product of labor be greater than the average product of labor?
A) 40 books sold per hour
B) 73 books sold per hour
C) Both A and B are correct.
D) Neither A nor B is correct.

Question

-The above table shows the short-run total product schedule for the campus book store. At what levels of books sold per hour will the marginal product of labor be greater than the average product of labor?
A) 40 books sold per hour 
B) 73 books sold per hour 
C) Both A and B are correct. 
D) Neither A nor B is correct.

Quizplus · Accepted Answer

The marginal product of labor is greater than the average product of labor when the average product is increasing. This typically occurs before the point of diminishing returns, which is likely at both 40 and 73 books sold per hour.

-The Above Table Shows the Short-Run Total Product Schedule for the Campus