If the Marginal Product of Labor Is Always Positive, the Total

question 104

Multiple Choice

If the marginal product of labor is always positive, the total revenue will grow with each additional worker. Firms do not continuously hire new workers because:

• A) there isn't enough room in the factory.
• B) there isn't an infinite number of workers.
• C) wages would have to increase.
• D) they stop when MRP = wage

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Definitions:

Parasitic

Relating to an organism that lives in or on another organism (its host) and benefits by deriving nutrients at the host's expense.

Mutualistic

A type of symbiotic relationship where both organisms involved benefit from their interaction.

Myxoma Virus

A leporipoxvirus that causes myxomatosis, a disease in rabbits and hares characterized by skin tumors and often leads to death.

Virulent

Characterized by a high degree of pathogenicity; capable of causing disease.