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What does the marginal product of labor measure? | QuestionStock

Representative image for question: What does the marginal product of labor measure?

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Economics

What does the marginal product of labor measure?

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What does the marginal product of labor measure?

Options:

Total output divided by the number of workers
The additional output from hiring one more worker, holding other inputs fixed
The total wage bill paid to labor
The average output produced by all workers

Correct answer: The additional output from hiring one more worker, holding other inputs fixed

Explanation: Marginal product of labor equals ΔQ/ΔL and measures the extra output produced by one additional worker while holding capital fixed; it commonly falls due to diminishing marginal returns as L increases.

Created 2026-03-10T18:48:37.651Z. Updated 2026-03-10T18:48:37.651Z.