Multiple Choice
-Silvio's Pizza is a small pizzeria. The firm's production function is shown in the table above. Suppose that Silvio's costs include only the cost of renting ovens, which is $100 per oven per week, the labor cost, $280 per worker per week, and the opportunity cost of Silvio's entrepreneurship, $1,000 per week. When Silvio's uses 2 ovens and hires the 3rd worker, the marginal product of labor is ________ the average product of labor, and therefore the average product of labor ________.
A) less than; decreases
B) less than; increases
C) greater than; decreases
D) greater than; increases
Correct Answer:

Verified
Correct Answer:
Verified
Q171: Which of the following statements is TRUE?<br>A)
Q172: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The above table
Q173: Ernie's Earmuffs produces 200 earmuffs per year
Q174: What is the difference between diminishing marginal
Q175: Downsizing is the practice of laying off
Q177: Total variable cost is the sum of
Q178: Cost schedule<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt="Cost schedule
Q179: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above
Q180: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The above (incomplete)
Q181: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above