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Suppose a Country's Labor Supply Increases in a Year While

Question 178

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Suppose a country's labor supply increases in a year while its physical capital stock remains constant.Which of the following is likely to happen in this case if output is a function of capital and the total efficiency units of labor?


A) Its output per capita will decrease.
B) Its total output will decrease.
C) Its total output will increase.
D) Its total output will remain constant.

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