Question: Suppose the table below represents increases in total output as additional individuals are assigned to work with a piece of machinery. Compute the average and

Suppose the table below represents increases in total output as additional individuals are assigned to work with a piece of machinery. Compute the average and the marginal products of labor for each additional worker. If the wage rate is $20 and the price of output is $5, how many workers will the employer wish to hire? What if the wage falls to $7? What if the wage falls to $3?

Number of Workers	Total Output
1	10
2	17
3	25
4	38
5	57
6	70
7	71
8	62

1. Calculate the following parts: # of outputs Average Product = # of workers A # of outputs Marginal Product = A# of workers VMP = MP * Price per unit To find the number of workers that the employer should hire, compare the relationship between the VMP and the wage

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