If workers get a real wage increase this will likely ____ and _____?

A. encourage the use of more capital in the long run, reduce demand for all inputs
B. encourage the use of more capital increase demand for all inputs
C. encourage the use of less capital reduce demand for all inputs
D. encourage the use of less capital, reduce demand for all inputs

Correct Answer: encourage the use of less capital reduce demand for all inputs ✔

Last Updated: June 11, 2019