Question

Increasing the capital available to the workforce, holding other factors constant, tends to ________?

1) increase productivity
2) decrease productivity
3) have no effect on productivity

Answer 1

Increasing the capital available to the workforce tends to increase productivity.

Step-by-step explanation:

Increasing the capital available to the workforce tends to increase productivity. When capital is invested in the education, skills, and training of the workforce, workers become more qualified and motivated, leading to increased productivity. With improved productivity, workers can produce more output in the same amount of time, leading to economic growth and benefits for the company and the economy as a whole.