If a firm hires a worker by paying him a wage higher than the value of the marginal product of the worker,________.

Name: If a firm hires a worker by paying him a wage higher than the value of the marginal product of the worker,________.
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Paying a worker more than the value of their marginal product means the firm is incurring a cost that exceeds the benefit derived from the worker's output. Firing the worker would eliminate this excess cost, thereby increasing the firm's profits.

If a Firm Hires a Worker by Paying Him a Wage