Rocchetta Industries manufactures and supplies bottled water in Mexico.As a result of a contamination of water supplies at many of Mexico's resort communities, the demand for bottled water has increased.According to the information provided, we would expect the value of marginal product for Rocchetta Industries workers to:

Question

Quizplus · Accepted Answer

The increase in demand for bottled water due to the water contamination in Mexico's resort communities will likely result in an increase in production for Rocchetta Industries. This means that the value of marginal product for workers will rise as they are able to produce more bottles of water with each unit of labor input. This increase in value will likely lead to an increase in wages as well.

Rocchetta Industries Manufactures and Supplies Bottled Water in Mexico