The marginal cost of an additional worker is
A)always equal to the cost from the first worker hired.
B)always equal to the benefit of hiring the additional worker.
C)the total cost of all workers hired.
D)the additional cost of hiring one more worker.

Question

Quizplus · Accepted Answer

Marginal cost refers to the additional cost incurred when one more unit of a good or service is produced. In this case, the additional worker represents the one more unit being produced, and the marginal cost is the additional cost of hiring them. Therefore, the correct answer is D.

The Marginal Cost of an Additional Worker Is