To calculate the Marginal Physical Product of Labor (MPPL) for each worker, we find the change in output as each additional worker is hired. The MPPL can be calculated using the formula:

$\text{MPPL} = \text{Output}_{n} - \text{Output}_{n-1}$

where $n$ is the number of workers.

Step 1: Calculate MPPL

Labor (Number of workers)	Output (Shovels)	MPPL (Shovels)
0	0	-
1	95	95
2	185	90
3	260	75
4	320	60
5	355	35

Step 2: MPPL Values

The MPPL values calculated are as follows:

• 1 worker: MPPL = 95
• 2 workers: MPPL = 90
• 3 workers: MPPL = 75
• 4 workers: MPPL = 60
• 5 workers: MPPL = 35

Step 3: Plotting MPPL Curve

To plot the MPPL curve using blue points (circle symbols), place the points on a graph where the x-axis represents the number of workers and the y-axis represents the MPPL in shovels per worker:

1. (1, 95)
2. (2, 90)
3. (3, 75)
4. (4, 60)
5. (5, 35)

Step 4: Demand for Labor

Given the additional MPPL values for the labor demand when the price of a shovel is $1.00 and $2.00:

Labor (Number of workers)	Output (Shovels)	MPPL (Shovels)	Price = $1.00	Price = $2.00
0	0	-	0	0
1	95	95	95	190
2	185	90	90	180
3	260	75	75	150
4	320	60	60	120
5	355	35	35	70

Demand Lines on Graph

• The demand line at $1.00 will intersect the MPPL values at the respective quantities.
• The demand line at $2.00 will be double the MPPL values.

Summary

This calculation allows Gopher Excavators to determine the optimal number of workers based on the price of shovels and their corresponding MPPL.

Do you want more details or have any questions? Here are some related questions to consider:

1. How does the MPPL influence hiring decisions?
2. What factors could affect the MPPL in real-world scenarios?
3. How does the price of a shovel impact the demand for labor?
4. What are the implications of decreasing MPPL with increasing labor?
5. How can Gopher Excavators optimize their labor force based on this analysis?

Tip: Always consider how external factors (like market demand and costs) can influence your labor decisions.