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Multiple Choice
Refer to Table 13-2. If the total output with zero workers is 0 units and the total output with one worker is 10 units, what is the marginal product of the first worker?
A
0 units
B
10 units
C
1 unit
D
Cannot be determined from the information given
Verified step by step guidance
1
Understand that the marginal product (MP) of a worker is the additional output produced by adding one more worker, holding all other inputs constant.
Identify the total output when there are zero workers, which is given as 0 units.
Identify the total output when there is one worker, which is given as 10 units.
Calculate the marginal product of the first worker by subtracting the total output with zero workers from the total output with one worker using the formula: \(MP_1 = Q_1 - Q_0\) where \(Q_1\) is output with one worker and \(Q_0\) is output with zero workers.
Substitute the values into the formula: \(MP_1 = 10 - 0\) to find the marginal product of the first worker.