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Scenario 14.1: You Are the Manager of a Firm Producing Green Chalk

question 130

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Scenario 14.1:
You are the manager of a firm producing green chalk. The marginal product of labor is:
MPL = 24L-1/2
Suppose that the firm is a competitor in the green chalk market. The price of green chalk is $1 per unit. Further suppose that the firm is a competitor in the labor market. The wage rate is $12.00 per hour.
-Given the information in Scenario 14.1, what is the marginal revenue product of labor?


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