Question

Marginal product is rev: 06_21_2018 Multiple Choice the amount an additional worker adds to the firm's total output. a worker's output multiplied by the price at which each unit can be sold. the output of the least skilled worker. the amount any given worker contributes to the firm's total revenue.

Answer 1

the amount an additional worker adds to the firm's total output.

Step-by-step explanation:

The marginal product of an input is the change in total output as a result of the change in output by 1 unit

For example, the table below is the total product of labour

amount of labour output

1 10

2 20

3 40

the marginal product of the 3rd worker = (40 - 20) / (3 - 2) = 20

marginal product of the second worker = (20 - 10) / (2 -1 ) = 10

Average output = total output / labour