A temporary supply shock such as a drought, Business Economics

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A temporary supply shock such as a drought

A temporary supply shock, such as a drought, would

(a) increase the marginal product of capital and increase desired investment.

(b) decrease the marginal product of capital and decrease desired investment.

(d) decrease both the marginal product of capital and the marginal product of labor in the long-term future.

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Business Economics: A temporary supply shock such as a drought

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Business Economics: A temporary supply shock such as a drought

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