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When an Economy Faces Diminishing Returns

Question 34

Multiple Choice

When an economy faces diminishing returns,


A) the slope of the per-worker production function becomes steeper as capital per hour worked increases.
B) the slope of the per-worker production function becomes flatter as capital per hour worked increases.
C) the per-worker production function shifts to the left.
D) the per-worker production function shifts to the right.
E) the per-worker production function does not pass through the origin.

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