Asked by
Luseane Pulupaki
on Nov 05, 2024
Verified
If the price of the product produced by labor increases, the marginal revenue product of labor curve will
A) be unaffected because productivity of labor has not changed.
B) shift to the left.
C) shift to the right.
D) become more elastic.
Marginal Revenue Product
The additional revenue generated from employing one more unit of a factor of production, like labor or capital.
- Analyze the influence of marginal revenue product on the decision-making process regarding labor employment levels.
- Understand the impact of changes in the price of output on the demand for labor and the marginal revenue product of labor.
Verified Answer
LF
Learning Objectives
- Analyze the influence of marginal revenue product on the decision-making process regarding labor employment levels.
- Understand the impact of changes in the price of output on the demand for labor and the marginal revenue product of labor.
Related questions
A Wheat Farmer Sells Wheat in a Perfectly Competitive Market ...
You Have Been Hired by a Data Processing Firm to ...
The Demand for Any Factor of Production in a Competitive ...
Liu's Potato Chips Is a Perfectly Competitive Firm Currently Employing ...
The Formula for the Marginal Revenue Product of Labor (L ...