Takes more labor to make more b marginal work hour

This preview shows page 7 - 9 out of 18 pages.

Takes more labor to make more B.Marginal work hour - how long and how much labor C.Marginal cost rises when marginal productivity decreases II.Marginal Cost: Input at $5, and wage rate is $20/hr A.Inputs would be previous needs to make objects (already defined) B.MC = (Marginal Work Hour * Wage) + Input C.MPL (Marginal Product of Labor) - for 1 unit of labor, how much are you getting?: Marginal Output/Marginal Work Hours (in this case, MO = Δ Crepes) i.In the long run, flat, but short run, decreasing D.Marginal Output: How much of an object are you increasing or decreasing by each interval III.Graphically, the marginal cost curve would tell how much output you are making A.Producer surplus is the area above the line where it touches the started quantity and price, and the interested quantity and price (imagine a rectangle and the triangle overlapping the rectangle and over area) B.MU would be a decreasing line C.The area below the MU curve where it touches the starting quantity and price and the interested quantity and price is Consumer Surplus (imagine a rectangle and the triangle overlapping the rectangle and under area) IV.Perfectly competitive firms are nonexistent, but instead are monopolies A.“Price taker” V.On graph, Marginal Revenue curve starts where the MU curve is, but even lower than Marginal Utility A.Amount of revenue made for producing one more of a unit, but lowering the price for this AND previous unit
III.Capitalism promotes productivity growth through productivity gains and profit:
IV.Adam Smith’s Pin Factory example:

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture