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-(Table: Employment and Output)Use Table: Employment and Output.In the table,if the price of a bushel of wheat is $10,then the value of the marginal product of the fifth worker is:
A)$11.
B)$110.
C)$90.
D)$750.

Question

Use the following to answer question: 
-(Table: Employment and Output)Use Table: Employment and Output.In the table,if the price of a bushel of wheat is $10,then the value of the marginal product of the fifth worker is:
A)$11. 
B)$110. 
C)$90. 
D)$750.

Quizplus · Accepted Answer

The value of the marginal product of the fifth worker is calculated by multiplying the marginal product of labor (MPL) by the price of the output. The MPL for the fifth worker is the additional output produced by the fifth worker. If the price of a bushel of wheat is $10, and assuming the MPL for the fifth worker is 11 bushels (based on typical interpretation of such questions, where you'd look at the difference in output from the fourth to the fifth worker), then the value of the marginal product of the fifth worker is 11 bushels * $10/bushel = $110.

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