Explain how capital and land rental rates and natural resource prices are determined. A California asparagus farmer is maximizing profit. The price of asparagus is $2 a bunch, a farm worker’s wage...

Explain how capital and land rental rates and natural resource prices

are determined.

A California asparagus farmer is maximizing profit. The price of asparagus

is $2 a bunch, a farm worker’s wage rate is $12 an hour, and the asparagus

farm employs six workers. What is the marginal product of the sixth farm

worker? If, when the price of asparagus rises to $3 a bunch, the farm hires

eight workers, what is the marginal product of the eighth worker?