However, Rina's decision regarding how many workers to use can vary from week to week because her workers tend to be students. Each Monday, Rina lets them know how many workers she needs for each day of the week. In the short run, these workers are inputs, and the ovens are inputs.

N° of Workers   Output      Marginal Product of Labor        Total

                          (Pizzas)          (Pizzas per worker)            Cost

        0               0                                  -                         $20

        1              60                                 60                       $50

        2             100                                 50                     $80

        3             130                            43.33                     $110

        4             150                              37.5                     $140

        5             160                                32                      $170

In the attached graph, the number of workers is given in the X axis, and the total production production of pizzas in the Y axis.

The green line represents Rina's total production function, while the blue line represents MPL. The total cost curve is represented by the orange line.

True or False: The shape of the production function reflects the law of increasing marginal returns. ⇒ FALSE, THE BLUE CURVE SHOWS THE LAW OF DECREASING MARGINAL RETURNS

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