Question 1
In a short-run production process, a diminishing marginal product of labor explains why marginal cost is
◦ positive and rising.
◦ positive but falling.
◦ zero.
◦ negative and falling.
Question 2
In the short run when the marginal product of labor ________, the marginal cost of an additional unit of output ________.
◦ rises; rises
◦ falls; rises
◦ rises; doesn't change
◦ falls; falls