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Which of the Following Statements Is Correct

Question 71

Multiple Choice

Which of the following statements is correct?


A) It is desirable to invest in more capital goods for future economic growth only if the marginal benefit of the investment exceeds the marginal cost.
B) The marginal benefit of capital goods will increase as more capital goods are produced.
C) In order to produce capital goods, more consumption goods must be produced in the present.
D) As additional units of capital goods are produced, the marginal productivity of capital will increase, because labor will have more capital with which to work.

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