Answer the next questions on the basis of the following info

Answer the next question(s) on the basis of the following information for Manfred\'s Shoe Shine Parlor. Assume Manfred hires labor, its only variable input, under purely competitive conditions. Shoe shines are also sold competitively. Units of TMargina Total Labor Product Product Revenue 0 14 $42 14 10 1 2 3 4 5 6 30 35 39 90 126 132 2 Refer to the above data. How many units of output are produced when 2 workers are employed? 4 16 24 10

Solution

Answer: when 1 worker is used, output produces is 1 units and the marginal product of the second worker is 10 units, therefore the total output produced by two workers is 24 units.