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The Recent Earthquakes in Christchurch, New Zealand Has Destroyed Much

Question 205

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The recent earthquakes in Christchurch, New Zealand has destroyed much of the infrastructure used to manage the data entry of wages for teachers and a number of commercial operations in the country. Describe the effect of the earthquake on the marginal productivity of land, labour and capital. How would the earthquake affect the price of inputs? Provide some examples.

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The earthquake would increase ...

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