Problem:
Supposing a used car dealer sells all of his cars for $2000, how many cars can be sold per month depending on the number of salespersons he hires (see the table below)? Calculate marginal product of labour for each additional person he hires as well as the value of marginal product.
|
Number of Salespersons
|
Total Cars Sold
|
|
0
|
0
|
|
1
|
10
|
|
2
|
21
|
|
3
|
26
|
|
4
|
29
|