Figure 12.1 Figure 12.1 shows the marginal revenue product for Dale's Hand-Sewn Doilies, a producer of linen doilies.
-Refer to Figure 12.1.If Dale can sell her doilies at $2 each, the marginal product of the 5^th worker is

Question

Figure 12.1 Figure 12.1 Figure 12.1 shows the marginal revenue product for Dale's Hand-Sewn Doilies, a producer of linen doilies. -Refer to Figure 12.1.If Dale can sell her doilies at $2 each, the marginal product of the 5<sup>th</sup> worker is A) $28 B) 28 doilies C) 14 doilies D) $56

Figure 12.1 Figure 12.1 shows the marginal revenue product for Dale's Hand-Sewn Doilies, a producer of linen doilies. -Refer to Figure 12.1.If Dale can sell her doilies at $2 each, the marginal product of the 5<sup>th</sup> worker is A) $28 B) 28 doilies C) 14 doilies D) $56

Figure 12.1 shows the marginal revenue product for Dale's Hand-Sewn Doilies, a producer of linen doilies.
-Refer to Figure 12.1.If Dale can sell her doilies at $2 each, the marginal product of the 5^th worker is

Quizplus · Accepted Answer

According to Figure 12.1, the marginal revenue product of the 10th worker is $2 per doily. Therefore, if Dale can sell her doilies at $2 each, the marginal product of the 10th worker is 14 doilies ($2 divided by $0.14). Based on the law of diminishing marginal returns, hiring additional workers will result in diminishing returns, meaning that the marginal revenue product will decrease with each additional worker. Therefore, the best choice for Dale would be to hire 10 workers, as this is where the marginal revenue product is highest.

Figure 121 Figure 12