marginal product of labor for a firm Is defined by the following equation: MPN = A(100- N)" a. If the price of this firm's output is $2.00 and productivity is 1.0, what will be the firm's demanc for labor if the nominal wage is $10. If the wage is

marginal product of labor for a firm Is defined by the following equation: MPN = A(100- N)" a. If the price of this firm's output is $2.00 and productivity is 1.0, what will be the firm's demanc for labor if the nominal wage is $10. If the wage is

Principles of Macroeconomics (MindTap Course List)

7th Edition

ISBN:9781285165912

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter15: Unemployment

Section: Chapter Questions

Problem 6QCMC

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Question

1. The marginal product of labor for a firm is
defined by the following equation: MPN = A(100-
N)"
a. If the price of this firm's output is $2.00 and
productivity is 1.0, what will be the firm's demand
for labor if the nominal wage is $10. If the wage is
$20?
b. Repeat part a after doubling productivity.

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