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Amy just applied for a position with Rory’s firm. Rory knows that Amy will earn $20 an hour and can produce a value of the marginal product of labor (VMPL) of $40. Rory will __________ Amy because her VMPL is __________.a. not hire; negativeb. hire; negativec. maybe hire; positived. not hire; positivee. hire; positive

User Jhegedus
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Answer: The correct answer is "e. hire; positive".

Explanation: Amy just applied for a position with Rory’s firm. Rory knows that Amy will earn $20 an hour and can produce a value of the marginal product of labor (VMPL) of $40. Rory will hire Amy because her VMPL is positive.

User Tsagana Nokhaeva
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