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An Adverse Supply Shock Would Directly ________ Labor Productivity by Changing

Question 2

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An adverse supply shock would directly ________ labor productivity by changing the amount of output that can be produced with any given amount of capital and labor.It would also indirectly ________ average labor productivity through changes in the level of employment.


A) increase; increase
B) increase; decrease
C) decrease; increase
D) decrease; decrease

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