This economics question tests your understanding of economic models and analysis. The step-by-step answer below applies the relevant framework and explains the reasoning.

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Answer
200
Right Selina, let's go.
Question 6
a) To calculate the Average Product of Labour (APL), we use the formula:
Step 1: Calculate APL for (I) where L = 1 and Q = 200.
Step 2: Calculate APL for (II) where L = 3 and Q = 600.
Step 3: Calculate APL for (III) where L = 4 and Q = 680.
The calculated APL values are: (I) (II) (III)
b) No, the firm will not recruit the fifth employee after the fourth. The firm's output with 4 employees is 680. With 5 employees, the output remains 680. This means the marginal product of labour for the fifth employee is zero (). A rational firm will not hire an additional employee if that employee does not contribute to increasing total output, as it would only increase costs without increasing revenue.
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Right Selina, let's go. Question 6 a) To calculate the Average Product of Labour (APL), we use the formula: APL = Output (Q)Employees (L) Step 1: Calculate APL for (I) where L = 1 and Q = 200.
This economics question tests your understanding of economic models and analysis. The step-by-step answer below applies the relevant framework and explains the reasoning.