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Answer to Question #87393 in Microeconomics for Michael
Question #87393
Which of the following is true of the profit-maximising level of employment in a perfectly competitive labour market?
(1) the marginal revenue product equals the value of marginal product
(2) the marginal revenue product equals the marginal cost of labour
(3) the marginal product equals the marginal revenue product
(4) the marginal product equals the marginal cost of labour
(1) the marginal revenue product equals the value of marginal product
(2) the marginal revenue product equals the marginal cost of labour
(3) the marginal product equals the marginal revenue product
(4) the marginal product equals the marginal cost of labour
Expert's answer
(3) the marginal product equals the marginal revenue product
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