If the Marginal Factor Cost of Hiring an Additional Worker

question 68

Multiple Choice

If the marginal factor cost of hiring an additional worker is $10 while the marginal revenue product is $15, then the firm should

• A) hire more workers.
• B) stop hiring more workers.
• C) fire some workers.
• D) none of the above: insufficient information to answer the question.

---

Definitions:

Extension

The movement that increases the angle between two body parts, such as straightening a flexed knee.

Plantar Flexion

The movement of the foot that increases the angle between the foot and the shin, as in standing on tiptoe.

Dorsiflexion

The movement that brings the top of the foot toward the shin, as seen when walking on the heels.

Eversion

The movement of the sole of the foot away from the median plane, or turning the foot outward.