Which of the following would shift the FE line to the left?
a. A decrease in the future marginal productivity of capital
b. A decrease in the capital stock
c. An increase in labor supply
d. A beneficial supply shock
Answer: B
Which of the following would shift the FE line to the left?
a. A decrease in the future marginal productivity of capital
b. A decrease in the capital stock
c. An increase in labor supply
d. A beneficial supply shock
If the answers is incorrect or not given, you can answer the above question in the comment box. If the answers is incorrect or not given, you can answer the above question in the comment box.