Asked by Dominique Harris on Jun 29, 2024
Verified
The ________ is the additional revenue a firm earns by employing one additional unit of labor.
A) marginal revenue product of labor
B) marginal labor cost
C) average labor revenue
D) per-worker net profit
Marginal Revenue Product
The extra income derived from the utilization of an additional input unit.
Additional Revenue
Typically refers to incremental income generated from increased sales or services, beyond what is normally expected.
Additional Unit
Refers to the increment of one unit in the quantity of goods or services produced or consumed.
- Attain insight into the concept of marginal revenue product (MRP) and how it influences choices in staffing.
Verified Answer
OS
Olivia SartorioJul 06, 2024
Final Answer :
A
Explanation :
The marginal revenue product of labor refers to the additional revenue a firm earns by employing one additional unit of labor, making it the correct choice.
Learning Objectives
- Attain insight into the concept of marginal revenue product (MRP) and how it influences choices in staffing.