A Competitive Firm Sells Its Output for $45 Per Unit

question 28

Multiple Choice

A competitive firm sells its output for $45 per unit.It employs 30 workers,and the marginal product of the 30th worker is four units of output per day.It pays its workers a wage of $150 per day.Which statement will help the firm make the right decision regarding hiring a 31st worker

• A)The firm's profit would increase if it hired a 31st worker.
• B)For the 30th worker, the value of the marginal product of labour is $600.
• C)For the 30th worker, the marginal revenue product is $600.
• D)Workers are consistently becoming more productive.

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Definitions:

Unemployed Category

A classification within the labor force that refers to individuals who are without a job but are actively seeking employment.

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Individuals enrolled in an educational institution who meet the school's full-time enrollment criteria, usually based on a minimum number of credits or hours.

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A social welfare program providing financial support to unemployed workers who meet specific eligibility requirements.

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The segment of the population that is aged 18 and over, often considered in workforce and economic participation studies.