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Question: assume that the aggregate production is given by the following...

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Assume that the aggregate production is given by the following: Y stands for output, K stands for the capital stock, N stands for the number of the people employed, L stands for the quantity of land used in production, and A stands for a measure of labour efficiency. a and B are parameters whose values are between 0 and 1d) Suppose labour efficiency declines to A 1, what happens to the equilibrium levels of the real wage rate, employment and the total output (Y) compared to part (c).

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