If Adding an Initial 100 Billion Labor Hours Per Year

question 159

Multiple Choice

If adding an initial 100 billion labor hours per year increases real GDP by $3 trillion,diminishing returns informs us that an additional 100 billion labor hours per year will increase real GDP by

• A)exactly $3 trillion.
• B)less than $3 trillion.
• C)more than $3 trillion.
• D)either exactly $3 trillion or by less than $3 trillion,depending on whether the real wage rate remains constant or rises.
• E)some amount but there is not enough information to tell by how much.

---

Definitions:

Memory Traces

Hypothetical physical changes in the brain that represent the existence of memory.

Amygdala

A region of the brain involved in processing emotions, including fear and pleasure, playing a crucial role in emotional responses and memory.

Maintenance Rehearsal

A cognitive process involving the repetition of information to keep it within short-term memory or to facilitate its transfer to long-term memory.

Mnemonics

Deliberate techniques people use to memorize new materials.