Espresso Yourself Coffee Shop hires workers in a competitive labor market to make coffee. The ingredients required to make each cup of coffee cost 50 cents. The coffee shop's hourly output of coffee varies with the number of workers hired, as shown in the table. Each cup of coffee sells for $2.00.Number ofworkersCoffee(cups/hour)00125245360470575 The marginal product of the third worker is ________ than the marginal product of the second worker, implying that ________.
A. greater; diminishing returns are absent
B. neither greater nor less; the third worker will be hired
C. less; the third worker will never be hired
D. less; diminishing returns are present
Answer: D
Economics
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