When is it not in the best interest of a company to hire additional workers in t

Question

When is it not in the best interest of a company to hire additional workers in the short run?

___when the average product of labor is decreasing

___when the firm is in Stage II of the production process

___when the marginal revenue product equals zero

___when the wage rate is equal to or greater than labor's marginal revenue product

___when the average product of labor is decreasing

___when the firm is in Stage II of the production process

___when the marginal revenue product equals zero

___when the wage rate is equal to or greater than labor's marginal revenue product

Explanation / Answer

When the wage rate is equal to or greater than labor's marginal revenue product then the company will not hire additional workers in the short run.

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.