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When a Firm Adds Physical Capital,labour Will Become More Productive

question 182

True/False

When a firm adds physical capital,labour will become more productive in the short run.


Definitions:

Truck

A motor vehicle designed to transport cargo or goods.

Comparative Advantage

The ability of an entity to produce a good or service at a lower opportunity cost than its competitors, leading to more efficient trade.

Absolute Advantage

The capability of a country, entity, or individual to produce a good or service more efficiently than competitors, using fewer resources.

Cars

Motor vehicles with four wheels typically used for transportation of people rather than goods.

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