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:

Learned Behavior

Actions or reactions that individuals acquire through experience or by observing others, in contrast to innate behaviors.

Mammals

The class of vertebrate animals distinguished by bodies covered with hair or fur, self-regulating temperature, and in females, milk-producing mammary glands.

Reptiles

are a class of ectothermic, scaled vertebrates that include snakes, lizards, turtles, and crocodilians, distinct for their ability to lay eggs on land.

Dynamic

Pertaining to the forces or processes that stimulate growth or change within a system or process.