We Assume That When a Firm Hires Additional Workers, the Marginal

question 168

Multiple Choice

We assume that when a firm hires additional workers, the marginal physical product of labor will

• A) increase because more workers can always get more work done.
• B) decrease because the new workers are likely to be less able than the previously hired ones.
• C) decrease because each worker now has less capital and other resources to work with.
• D) increase because large firms are more efficient.

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Definitions:

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Independent Variable

The variable in a study that is manipulated or changed by the researcher to investigate its effect on another variable (the dependent variable).

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The process or experience of changing from one emotional state to another, which can be influenced by a variety of internal and external factors.

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