Given the total product schedule below, for which unit of labor is the marginal product of labor the highest?
$$\begin{array} { | l | l | l | l | l | l | l | l | }
\hline \text { Units of Labor } & 0 & 1 & 2 & 3 & 4 & 5 & 6 \
\hline \text { Total Product } & 0 & 2 & 5 & 9 & 14 & 21 & 25 \
\hline
\end{array}$$
A) 2nd
B) 3rd
C) 4th
D) 5th

Question

Given the total product schedule below, for which unit of labor is the marginal product of labor the highest?
$$\begin{array} { | l | l | l | l | l | l | l | l | } 
\hline \text { Units of Labor } & 0 & 1 & 2 & 3 & 4 & 5 & 6 \
\hline \text { Total Product } & 0 & 2 & 5 & 9 & 14 & 21 & 25 \
\hline
\end{array}$$
A) 2nd
B) 3rd
C) 4th
D) 5th

Quizplus · Accepted Answer

The marginal product of labor is the increase in output resulting from a one-unit increase in the amount of labor used, holding all other inputs constant. To find the marginal product for each unit of labor, calculate the difference in total product as more labor is added. The differences are as follows: from 0 to 1 labor, the increase is 2 (2-0); from 1 to 2 labor, the increase is 3 (5-2); from 2 to 3 labor, the increase is 4 (9-5); from 3 to 4 labor, the increase is 5 (14-9); from 4 to 5 labor, the increase is 7 (21-14); from 5 to 6 labor, the increase is 4 (25-21). The highest increase is from 4 to 5 labor units, which is 7. Therefore, the marginal product of labor is highest for the 5th unit of labor.

Given the Total Product Schedule Below, for Which Unit of Labor