Figure 17-1 Figure 17-1 shows the marginal revenue product for Becca's Baubles,a producer of hand-beaded bracelets.
-Refer to Figure 17-1.If Becca can sell her bracelets at $3 each,what is the marginal product of the 4th worker?

Question

Figure 17-1  Figure 17-1 shows the marginal revenue product for Becca's Baubles,a producer of hand-beaded bracelets.
-Refer to Figure 17-1.If Becca can sell her bracelets at $3 each,what is the marginal product of the 4th worker?

Quizplus · Accepted Answer

To find the marginal product of the 4th worker, we need to look at the change in total revenue when the 4th worker is hired. From the graph, we can see that the marginal revenue product of the 3rd worker is $12, and the marginal revenue product of the 4th worker is also $12. Therefore, the marginal product of the 4th worker is 12 bracelets. Option B is the correct choice. Option A ($36) is the total revenue earned from the 3rd and 4th worker combined. Option C (36 bracelets) is not a possible answer based on the graph. Option D ($144) is the total revenue earned from all 4 workers.

Figure 17-1 Figure 17-1 Shows the Marginal Revenue Product