Zach Greinke's Marginal Product as a Baseball Player Would Be

question 190

Multiple Choice

Zach Greinke's marginal product as a baseball player would be about the same as a Los Angeles Dodger and a Kansas City Royal.Why were the Dodgers willing to pay Greinke a higher salary than he was paid as a Royal?

• A)The Dodgers needed a superstar to attract fans to their games. The Royals had no need to attract fans to their games.
• B)The Dodgers play more home games than the Royals. As a result, the Dodgers earn more revenue from ticket sales that they can use to pay player salaries.
• C)Greinke's marginal revenue product is higher as a Dodger than it was as a Royal.
• D)The owner of the Dodgers was under more pressure from the fans and the Los Angeles media to pay Greinke a higher salary than the Royals were willing to pay.

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Stable

A building or establishment where horses or other domesticated animals are kept and cared for.

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