Draw the four points on the marginal product curve

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Draw the four points on the marginal product curve, beginning with the increase in labor from1 to 2 workers per week. Draw the marginal product curve. Label it. If 5 workers produce 190 surfboards a week and 6 workers produce 210 surfboards a week, the marginal product of the 6 th worker is 20 surfboards 67. Choose the correct statement: When marginal product of labor is greater than average product of labor and marginal product of labor is either increasing or decreasing, average product of labor is increasing 68. The table shows Sue’s Surfboards’ total product, average product, and marginal product schedules
The firm enjoys the benefits of increased specialization and division of labor up to the third worker employed The firm experienced diminishing marginal product of labor after the third worker is employed The marginal product of labor decreases and the average product of labor increases between 2.5 and 3 workers 69. When marginal product exceeds average product, average product is increasing When average product exceeds marginal product, average product is decreasing 70. The law of diminishing returns states that as a firm uses more of a variable factor of production, with a given quantity of a fixed factor of production, the marginal product of the variable factor eventually diminishes Marginal product eventually diminishes because more and more workers are using the same capital and working in the same space 71. The table gives Sue’s Surfboards’ total product schedule Draw the four points defined in the table Draw the total product curve. Label it TP
Choose the correct statement: Points that lie below the TP curve are attainable but they are inefficient 72. The marginal product of labor initially increases and eventually decreases The average product of labor initially increases and eventually decreases 73. Offering farmers a payment to exit tobacco growing increases the opportunity cost of growing tobacco The opportunity cost of using the equipment owned by a tobacco farmer and used for growing tobacco is the next best alternative forgone 74. The news clip lists some decisions made by Starbucks. January 31, 2008: Starbucks will open 75 more stores abroad than originally predicted, for a total of 975 February 25, 2008: For three hours on Tuesday, Starbucks will shut down every single one of its 7,1000 stores so that baristas can receive a refresher course June 2, 2008: Starbucks replaces baristas with vending machines July 18, 2008: Starbucks is closing 616 stores by the end of March The decisions made on February 25 and June 2 are short-run decisions because they change a variable factor of production but not a fixed factor of production The decisions made on January 31 and July 18 are long-run decisions because they change Starbucks’ plant
75. The price of fuel is a variable cost for an airline When the price of fuel increases, total fixed cost does not change , total variable cost increases , and total cost increases When the price of fuel increases, average fixed cost does not change , average variable cost increases , average total cost increases , and marginal cost increases

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