Joey cuts lawns during the summer.Let q equal the number of acres mowed per day,and let L equal the number of hours worked per day.Joey never works more than eight hours per day,and during that time his short-run production function is q = 0.2 ∗ L.Which of the following statements is FALSE?
A) Joey's marginal productivity equals his average productivity.
B) Joey's marginal productivity diminishes by 0.2 for each additional hour worked.
C) Joey's average productivity is constant.
D) Joey's marginal productivity is constant.

Question

Quizplus · Accepted Answer

According to the short-run production function given, Joey's marginal productivity is equal to the slope of the function, which is 0.2. This implies that Joey's marginal productivity is constant and does not diminish with additional hours worked. However, the average productivity is calculated by dividing the total output (q) by the total input (L). In this case, Joey's average productivity is q/L = 0.2, which is a constant value. Therefore, statement B is false.

Joey Cuts Lawns During the Summer