QuestionSuppose a firm produces cables for video games using workers according to the table and that its output sells for per unit.
\begin{tabular}{cccc}
\hline Workers & Output & \begin{tabular}{c}
Marginal \\
Product
\end{tabular} & \begin{tabular}{c}
Value of the \\
Marginal \\
Product
\end{tabular} \\
\hline 0 & 0 & - & - \\
1 & 15 & 15 & 30 \\
2 & 27 & 12 & 24 \\
3 & 36 & 9 & 18 \\
4 & 42 & 6 & 12 \\
5 & 45 & 3 & 6 \\
\hline
\end{tabular}
Derive the firm's labor demand curve.
Use the line drawing tool to draw the firm's labor demand curve. Label this line 'Demand'.
Carefully follow the instructions above, and only draw the required objects.
Studdy Solution
The firm's labor demand curve is a downward-sloping line connecting the following points: (1, ), (2, ), (3, ), (4, ), and (5, ).
The first number in each pair represents the number of workers, and the second number represents the corresponding wage.
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