Figure 74 Alt Text for Figure 7

question 264

Multiple Choice

Figure 7.4 Alt text for Figure 7.4: In figure 7.4, a graph representing per-worker production functions.
Long description for Figure 7.4: The x-axis is labelled, capital per hour worked, K/L.The y-axis is labelled, real GDP per hour worked, Y/L.3 concave curves originating from 0 at the vertex are shown.5 points A ($50000, $15000) , B ($60000, $16000) , C ($70000, $16400) , D ($60000, $17000) , and E ($60000, $15000) are plotted.The curve labelled, Production function 1, passes through point E.The curve labelled, Production function 2, passes through points A, B, and C.The curve labelled, Production function 3, passes through point D.These 5 points are connected to their respective coordinates on the x-axis and y-axis with dotted lines.
-Refer to Figure 7.4.The movement from A to B to C illustrates

• A)an improvement in technology.
• B)a decline in capital per worker.
• C)diminishing returns to capital.
• D)diminishing returns to labour.
• E)rising labour force participation.

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A measure of a company's ability to compete in a particular market based on factors such as price, product quality, and customer service.

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The capacity for expansion or increased sales within a market, considering current trends and consumer demand.

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