If the Marginal Product of a Worker Is 10 Units

question 194

Multiple Choice

If the marginal product of a worker is 10 units and each unit of the good is sold for $5,the value of the marginal product of the worker is ________.

• A) $2
• B) $5
• C) $10
• D) $50

---

Definitions:

Gain Sharing

A compensation strategy where employees receive financial rewards based on improvements in the company's performance, meant to increase productivity and morale.

Pay-For-Performance

Pay-For-Performance is a compensation strategy where employees' compensation is directly linked to their performance or achievements.

Organizational Productivity

The measure of how efficiently and effectively an organization uses its resources to achieve its goals.

Gain Sharing

A performance-based compensation model where employees receive bonuses or rewards based on the productivity improvements or successes of their organizational unit.