Correct answerA. The additional revenue a firm earns by employing one additional unit of labour
Explanation
MRP of labour is the extra output from one more worker multiplied by the marginal revenue from selling that output. Firms do not sell labour; they hire it to produce goods.
Correct answerB. It will be upward sloping because as land becomes more valuable in one use, the amount of land made available for that use will increase
Discussion