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SSSSS [86.1K]
3 years ago
6

Labor-augmenting (improving) technology causes which of the following? (i) The marginal productivity of labor increases. (ii) Th

e marginal productivity of labor decreases. (iii) Labor demand (MRP) shifts to the right. (iv) Labor demand (MRP) shifts to the left.
Business
1 answer:
OleMash [197]3 years ago
5 0

Answer:

Answer to this is both option (i) and option (iii).

Explanation:

Change in technology generally affects the change in productivity as well as the change in labor demand. In the case of Labor-augmenting (improving) technology, it is found that the positive change in technology leads to the increasing marginal productivity of labor. This increase of marginal productivity of labor shifts the labor-demand curve towards right. Thus, Labor-augmenting (improving) technology causes marginal productivity of labor to increase which further leads to shifting of the labor-demand curve towards right.

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$36.79

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A stock has a beta of 1.12 and an expected return of 10.8 percent. A risk-free asset currently earns 2.7 percent. a. What is the
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6.75%

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