Assume that the last worker hired of type A serves 100 additional customers per week at a wage of $500 per week and the last worker hired of type B serves 200 additional customers per week at a wage of $1000 per week. Assuming that the company is currently spending its entire budget for labor, should the company alter its current allocation of labor types? If so, how? If not, why?
The country of Econostan recently suffered a terrible offshore oil spill. According to some policymakers, the spill should be cleaned up completely, no matter the cost. Evaluate this statement, using your knowledge of marginal analysis.