The graphs below depict the production function and labor market for an imaginary economy. The economy is, initially, at points x and X.
Figure 1 Figure 2
-An increase in labor productivity shifts the labor curve .
A) supply; leftward
B) demand; leftward
C) supply; rightward
D) demand; rightward
Correct Answer:
Verified
Q141: If the demand for labor increases
I. employment
Q162: Q163: An increase in labor productivity the real Q164: The graphs below depict the production function Q165: An increase in the population and hence Q166: The graphs below depict the production function Q168: An advance in technology increases the productivity Q169: If the population increases, then potential GDP Q171: An increase in physical capital or a Q172: Employment and (total) potential GDP increase if![]()
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