Which of the Following Changes Is Likely to Increase Wages

question 178

Multiple Choice

Which of the following changes is likely to increase wages the most in a country?

• A) Drainage of swampy land allows 2% more land to be farmed.
• B) The labor force grows by 2%.
• C) The capital-to-labor ratio rises by 2%.
• D) Since the growth rate is 2% in all listed situations, wages would increase equally in all situations.

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