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Economics · May / June 2020 · Paper 11 · Question 14

2281Firms and production

What is most likely to lead to an improvement in labour productivity in an industry?

  1. Aan increase in capital investment
  2. Ban increase in income tax rates
  3. Can increase in the demand for the industry's product
  4. Dan increase in the number of firms in the industry

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Correct answer: A. an increase in capital investment

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