-Refer to the graph in the exhibit.Consider the movement from point A to point B.What might this movement illustrate?
A) the result of an increase in the capital stock relative to the work force
B) the result of an increase in the labour productivity growth rate
C) the result of an increase in labour productivity because of higher quality capital
D) the result of an increase in capital stock because of new-found natural resources

Question

-Refer to the graph in the exhibit.Consider the movement from point A to point B.What might this movement illustrate?  
A) the result of an increase in the capital stock relative to the work force 
B) the result of an increase in the labour productivity growth rate 
C) the result of an increase in labour productivity because of higher quality capital 
D) the result of an increase in capital stock because of new-found natural resources

Quizplus · Accepted Answer

The movement from point A to point B illustrates the result of an increase in the capital stock relative to the work force. This is because the capital stock per worker has increased, which has led to an increase in output per worker.

-Refer to the Graph in the Exhibit