Question

Table 1 Production of pizza data
Workers Pizzas
0 0
1 4
2 10
3 15
4 18
5 19

3. Table 1 shows the change in the short - run production of pizzas as more workers are hired. The table shows the marginal product of the labor input is decreasing with the hiring of the third worker. A possible reason for this diminishing marginal product is:
a. decreased wages.
b. increases in plant size.
c. decreases in fixed cost.
d. increased division of labor as additional workers are hired.
e. decreases in labor productivity.

Answer 1

Table 1 Production of pizza data
Workers Pizzas
0 0
1 4
2 10
3 15 
4 18
5 19
3. Table 1 shows the change in the short - run production of pizzas as more workers are hired. The table shows the marginal product of the labor input is decreasing with the hiring of the third worker. A possible reason for this diminishing marginal product is:
e. decreases in labor productivity. 
Because the more workers are hired, the less productive they are.