An Increase in the Capital Stock Would Be Expected to

question 106

Multiple Choice

An increase in the capital stock would be expected to

• A)decrease the labor force.
• B)increase the level of output.
• C)decrease real GDP per capita.
• D)increase real GDP per capita.

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Definitions:

Chose in Action

A personal right to property which can only be claimed or enforced by action, not by taking physical possession.

Surviving Corporation

The corporation that continues to exist after the merger or consolidation of two or more corporations, absorbing the assets and liabilities of the others.

Damages

Monetary compensation awarded by a court to a person who has suffered loss or injury as a result of another's wrongdoing or negligence.

Involuntary Liquidation

involves the forced selling off of a company's assets by creditors or a court order, typically when the company is unable to pay its debts.