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With all other economic forces held constant, an increase in labor productivity throughout the country implies _____.(1 point)

Responses

an increase in GDP due to an increase in labor hours
an increase in GDP due to an increase in labor hours

a decrease in GDP due to an increase in labor hours
a decrease in GDP due to an increase in labor hours

an increase in GDP with labor hours held constant
an increase in GDP with labor hours held constant

a decrease in GDP with labor hours held constant

1 answer

An increase in labor productivity throughout the country implies an increase in GDP with labor hours held constant.

Higher productivity means that each hour of labor generates more output, which leads to an overall increase in GDP without requiring additional labor hours.