What Happens When the Marginal Product of Labour Rises

question 12

Multiple Choice

What happens when the marginal product of labour rises?

• A)the marginal cost of production will exceed the average total cost.
• B)the marginal cost of production also rises.
• C)the marginal cost of production falls.
• D)the average total cost of production also rises.

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Definitions:

Ego

In psychology, a component of Sigmund Freud's model of the psyche that represents the self, or the part of one's identity that mediates between the desires of the id and the constraints of the social environment.

Id

A part of the mind in Freudian psychoanalysis that is responsible for instinctual desires and drives.

Libido

The energy of the sexual drive as a component of the life instinct.

Superego

In psychoanalytic theory, the part of the personality that acts as a moral center, enforcing ethical conduct and societal norms.