Respuesta :
Answer:
$1 per hour
Explanation:
Data provided in the question
Lauren pick cherries per hour for $8 per hour
And, the wage rate that Lauren earns is $7 per hour
So, the surplus made from Lauren's labor per hour is
= Lauren pick cherries per hour - Wage rate that Lauren earns
= $8 per hour - $7 per hour
= $1 per hour
Simply we deduct the wage rate from the cherries per hour so that the surplus per hour could come
The orchard owner's surplus from Lauren's labor is $1 per hour.
The orchid owner's surplus is the excess of marginal benefit over the marginal cost of labour.
Marginal benefit is the change in benefit as output increases by 1 unit. Marginal cost of labour is the change in the total cost of labour as hours worked increases by an hour.
Surplus = Marginal benefit - Marginal cost
$8 - $7 = $1
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