If an Additional Worker Can Produce an Additional 20 Units

question 69

Multiple Choice

If an additional worker can produce an additional 20 units of output which can be sold for $4 per unit, what is the maximum wage that this perfectly competitive firm should pay to hire this worker?

• A)$80
• B)$80 minus the firm's profit markup
• C)It depends on what the going wage rate is in the labor market.
• D)There is insufficient information to answer the question.

---

Definitions:

Kilocalories

A unit of energy defined as the amount of heat needed to raise the temperature of one kilogram of water by one degree Celsius, commonly used to quantify the energy content in food.

Dietary Intake

The amount and type of food and beverages consumed by an individual or population, significant for nutritional status and health.

Anabolism

All of the synthesis reactions that occur within the body; requires energy.

Protein Production

The biological process by which cells create proteins, which involves transcription of DNA to RNA and translation of RNA into polypeptide chains.