When Caroline's dress factory hires two workers,the total product is 50 dresses.When she hires three workers,the total product is 48,and when she hires four workers,the total product is 45.The marginal product of the third and fourth workers is:
A) increasing and positive.
B) increasing and negative.
C) decreasing and positive.
D) decreasing and negative.

Question

Quizplus · Accepted Answer

The marginal product is the change in total product when an additional worker is hired. For the third worker, the total product decreases from 50 to 48, resulting in a marginal product of -2. For the fourth worker, the total product decreases from 48 to 45, resulting in a marginal product of -3. Both are negative and decreasing.

When Caroline's Dress Factory Hires Two Workers,the Total Product Is