Question

1)The marginal product of labor is equal to the

A.

total product divided by the total number of workers hired.

B.

increase in the total product that results from hiring one more worker.

C.

slope of the marginal product of labor curve.

D.

None of the above answers are correct.

2) The marginal product of labor is the increase in total product from a

A.

one dollar increase in the wage​ rate, while holding the price of capital constant.

B.

one unit increase in the quantity of​ labor, while holding the quantity of capital constant.

C.

one percent increase in the wage​ rate, while also increasing the price of capital by one percent.

D.

one unit increase in the quantity of​ labor, while also increasing the quantity of capital by one unit.

3) The average product of labor is equal to the

A.

total number of workers hired divided by the total product.

B.

total product divided by the total number of workers hired.

C.

slope of the marginal product of labor curve.

D.

Both answers B and C are correct.

4) Which of the following is part of the market structure for monopolistic​ competition?

A.

barriers to entry

B.

a large number of firms compete

C.

each firm produces a differentiated product

D.

Both answers B and C are correct.

5) In monopolistic​ competition, profit is maximized when the amount produced is such that

A.

marginal revenue is greater than marginal cost.

B.

marginal revenue equals marginal cost.

C.

total revenue is maximized.

D.

total revenue equals total cost.

6) Dole Co. operates in a monopolistically competitive market. To try to earn an economic​ profit, Dole Co. will

A.

increase output.

B.

prevent other firms from entering the market.

C.

continually seek to differentiate its product.

D.

increase its​ product's price.

Answer 1

1):-B is right option

increase in the total product that results from hiring one more worker.

Marginal Product of Labor is defined as the change in output from hiring one additional unit of laborMarginal

2):-B is right option

one unit increase in the quantity of​ labor, while holding the quantity of capital constant.

Marginal Product of Labor is defined as the change in output from hiring one additional unit of laborMarginal

3):-B is right option

total product divided by the total number of workers hired.

Average Product of Labor is refer to measures how much output each worker produces on average.
It firstly Increases then it starts to decreases

4) :-D is right option

Under this market structure Many sellers competing for customers (books, CDs, restaurants)

Under it Product differentiation take place as Each firm produces a product that is at least slightly different from those of other firms.

Each firm faces a downward-sloping demand curve instead of being a price taker