The Division of Labor and Specialization Explain

question 289

Multiple Choice

The division of labor and specialization explain

• A)why, when the marginal product of labor increases, so does the average product of labor.
• B)why the average product of labor falls when firms use more capital or change the layout of their businesses.
• C)why the marginal product of labor rises as a firm hires its first units of labor.
• D)why firms may find it profitable to use more workers when the marginal product of labor is negative.

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Definitions:

Nietzsche

Friedrich Nietzsche, a 19th-century German philosopher known for his critique of traditional moral values and the concept of the "will to power."

Courageous Person

An individual who displays bravery and willingness to face fear, pain, risk/danger, uncertainty, or intimidation.

Ayn Rand

A 20th-century Russian-American writer and philosopher best known for her philosophy of Objectivism and her novels "Atlas Shrugged" and "The Fountainhead."

Ethical Egoism

The thesis that people ought to act in their own self-interest.