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(Table: Sales and Payments) Suppose That the Price of the Manufactured

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(Table: Sales and Payments) Suppose that the price of the manufactured good rises by 20% with no change in the price of the agricultural good. Wages in both sectors rise by 10%. Which of the following is the correct ordering (from highest to lowest) of changes in the real wage, real rental on capital, and real rental on land? (Table: Sales and Payments)  Suppose that the price of the manufactured good rises by 20% with no change in the price of the agricultural good. Wages in both sectors rise by 10%. Which of the following is the correct ordering (from highest to lowest)  of changes in the real wage, real rental on capital, and real rental on land?   A)  real rental on land, real wage, real rental on capital B)  real wage, real rental on land, real rental on capital C)  real rental on capital, real rental on land, real wage D)  real rental on capital, real wage, real rental on land


Definitions:

Raise Capital

The process by which firms obtain funding to finance their operations, growth, or investments, often through issuing debt or selling equity.

Economic Flow

The movement of resources, goods, services, and money among households, businesses, and the government in an economy.

Large-scale Privatization

The process of transferring ownership of large government enterprises to private entities.

Karl Marx

A 19th-century philosopher and economist known for his theories on capitalism and communism.

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