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-Based on the Table Above, Holding Labor Constant, What Do

Question 105

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K=0 K=1 K=2 K=3 K=4L=000000L=101234L=208162432L=30275481108L=4064128192256\begin{array} { | l | l | l | l | l | l | } \hline & \mathrm { K } = 0 & \mathrm {~K} = 1 & \mathrm {~K} = 2 & \mathrm {~K} = 3 & \mathrm {~K} = 4 \\\hline \mathrm { L } = 0 & 0 & 0 & 0 & 0 & 0 \\\hline \mathrm { L } = 1 & 0 & 1 & 2 & 3 & 4 \\\hline \mathrm { L } = 2 & 0 & 8 & 16 & 24 & 32 \\\hline \mathrm { L } = 3 & 0 & 27 & 54 & 81 & 108 \\\hline \mathrm { L } = 4 & 0 & 64 & 128 & 192 & 256 \\\hline\end{array}
-Based on the table above, holding labor constant, what do you notice about the marginal productivity of capital?


A) The marginal productivity of capital is always increasing.
B) The marginal productivity of capital is always constant.
C) The marginal productivity of capital is always decreasing.
D) The marginal productivity of capital increases, then decreases.

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