An Avocado Orchard Employs Five Full-Time Workers

question 24

Multiple Choice

An avocado orchard employs five full-time workers. Currently, the average product of labour is 120 pounds of avocados per day. The orchard hires a 6th full-time worker and his marginal product is 150 pounds of avocados. The average product of the six workers will now be

• A) more than 120 pounds.
• B) less than 120 pounds.
• C) equal to 120 pounds.
• D) less than the marginal product of labour.

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