When a Production Function Is Graphed with Real GDP on the Vertical

question 43

Multiple Choice

When a production function is graphed with Real GDP on the vertical axis and labor on the horizontal axis,a rise in labor ________________________,and a rise in capital __________________.

• A) shifts the production function upward; also shifts the production function upward
• B) shifts the production function downward; shifts the production function upward
• C) moves us up along a given production function; shifts the production function upward
• D) shifts the production function upward; moves us up along a given production function

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