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Multiple Choice
Refer to Table 13-2. If the total output with three workers is 24 units and with four workers is 30 units, what is the marginal product of the fourth worker?
A
4 units
B
54 units
C
6 units
D
30 units
Verified step by step guidance
1
Identify the total output when there are three workers, which is given as 24 units.
Identify the total output when there are four workers, which is given as 30 units.
Recall that the marginal product of a worker is the additional output produced by adding one more worker. It is calculated as the change in total output when the number of workers increases by one.
Set up the formula for the marginal product of the fourth worker: \(\text{Marginal Product}_4 = \text{Total Output with 4 workers} - \text{Total Output with 3 workers}\).
Substitute the values into the formula: \(\text{Marginal Product}_4 = 30 - 24\) and simplify to find the marginal product.