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Business, 04.02.2022 09:50 savannahvargas512

Elon Musk, the founder of Tesla, announces the discovery of a revolutionary new technology that is expected to double productivity of the economy over the next 10 years. Assuming that productivity today does not change (because implementing the new technology takes time) but that people already feel wealthier because of anticipated higher future wages resulting from the increase in productivity, what is the effect on today's labor market? a. Labor supply shifts left. Labor demand does not shift.
b. Labor supply does not shift. Labor demand does not shift.
c. Labor supply shifts right. Labor demand shifts right.
d. Labor supply does not shift. Labor demand shifts right.

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