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If a Firm Hires Another Worker and Her Marginal Product

Question 42

Multiple Choice

If a firm hires another worker and her marginal product of labor is 0 (zero) , we know that the firm's total output is:


A) 0 (zero) .
B) unchanged.
C) increasing.
D) decreasing.
E) equal to the marginal product of that worker.

Correct Answer:

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