Which of the Following Describes a Difference Between the Marginal

question 237

Multiple Choice

Which of the following describes a difference between the marginal product of labor and the marginal revenue product of labor?

• A)The marginal product of labor declines as each additional worker is hired because of the law of diminishing returns. The marginal revenue product of labor declines as each additional worker is hired because of diseconomies of scale.
• B)The marginal product of labor declines as each additional worker is hired because of the law of diminishing returns. The marginal revenue product increases as each additional worker is hired because of increases in the productivity of labor.
• C)The marginal product of labor is inelastic. The marginal revenue product of labor is elastic.
• D)The marginal product of labor measures the change in output as additional workers are hired. The marginal revenue product measures the change in revenue as additional workers are hired.

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