Marginal Product of Labor

Marginal product of labor, abbreviated as MPL, is the additional production a company experiences by adding one unit of labor.

 

marginal product of labor Formula

\(\large{ MPL =  \frac{ PO }{ IL }   }\)

Symbol

\(\large{ MPL }\) = marginal product of labor

\(\large{ IL }\) = change in input labor (final labor - initial labor)

\(\large{ PO }\) = change in production output (final production output - initial production output)