Final answer:
The marginal product of labor (MPL) for the production function Y=F(K, L)=A K⁰.⁴ L¹.⁰ is AK⁰.⁴.
Step-by-step explanation:
In economics, the marginal product of labor (MPL) is the change in output that results from employing an added unit of labor. It is a feature of the production function and depends on the amounts of physical capital and labor already in use. Calculating the marginal product of labor (MPL) from the given production function Y=F(K, L)=A K⁰.⁴ L¹.⁰.
To do this, we take the partial derivative of the production function with respect to labor, L. In this case, since the exponent of L is 1.0, the MPL can be represented mathematically as the derivative of AK⁰.⁴L¹.⁰ with respect to L, which is simply AK⁰.⁴. This tells us how production changes as additional units of labor are added, assuming capital is held constant. In the context of a competitive output market, the value of the additional output sold is the price the firm receives, which means as MPL declines with additional labor employed, so does the value of the marginal product.