In the Movie (And Book) Sahara, Toxic Waste Is Leeching

Multiple Choice

In the movie (and book) Sahara, toxic waste is leeching into Mali's groundwater. Which of the following effects would you expect to occur in the DSGE framework?
i. A decline in the marginal product of labor
ii. An increase in output
iii. A decline in the real wage

A) i and iii
B) i
C) ii and iii
D) iii
E) i, ii, and iii