Asked by
Christopher Kanatselis
on Nov 04, 2024
Verified
In the short run when the marginal product of labor ________, the marginal cost of an additional unit of output ________.
A) rises; rises
B) falls; falls
C) rises; falls
D) falls; doesn't change
Marginal Product of Labor
The additional output produced as a result of adding one more unit of labor, holding all other inputs constant.
Marginal Cost
The cost of producing one additional unit of a product.
Additional Unit
The next unit of production or consumption, considered in analysis of changes in benefit or cost from increasing quantity.
- Identify the correlation between the marginal product of labor and marginal cost.
Verified Answer
MV
Learning Objectives
- Identify the correlation between the marginal product of labor and marginal cost.