Suppose that a competitive firm hires labor up to the point at which the value of the marginal product equals the wage and that labor is the only input that varies for the firm.If the firm pays a wage of $700 per week and the marginal product of labor equals 20 units per week,then the marginal cost of producing an additional unit of output is
A) $35.
B) $70.
C) $700.
D) We do not have enough information to answer this question.
Correct Answer:
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Q158: Figure 18-1 Q331: Which of the following events would bring Q333: The value of the marginal product of Q362: Figure 18-2 Q368: Figure 18-1 Q372: Figure 18-2 Q376: Figure 18-3 Q400: For a competitive firm experiencing diminishing marginal![]()
The figure below shows the production
On the graph, L represents the
The figure below shows the production![]()
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