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The tablebelow shows the number of units of output that a firm can produce per day, as function of the number ofworkers hired. The firm is price-taker in both the labor market and the output market. The market priceof a unit of output is $20, and the market daily wage rate is $150. The firm has no costs besides labor.
# of workers hired # of units of output produced
1 8
2 20
3 30
4 36
5 40
What is the marginal revenue product of labor for the fourth worker hired?a) $720 .b) $6. c) $180. d) $120 .e) $20.
Please show your work.
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