Problem
Suppose again that capital's and labor's shares of income are .3 and .7, respectively.
a. What would be the effect (on output) of increasing the capital stock by 10 percent?
b. What would be the effect of increasing the pool of labor by 10 percent?
c. If the increase in labor is due entirely to population growth, will the resulting increase in output have an effect on people's welfare?
d. What if the increase in labor is due, instead, to an influx of women into the workplace?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.