Refer to the information provided in Table 31.1 below to answer the question(s) that follow.Table 31.1PeriodQuantity of Labor (L)Quantity of Capital (K)Total Output (Y)1  50  50  2002  60  50  2203  70  50  2354  80  50  245Refer to Table 31.1. During Period 2, labor productivity is equal to

Monetary policy is limited in that:

A. it can only affect inflation in the long run. B. it can only affect real growth in the short run. C. it can only affect real growth in the long run. D. it can only affect inflation in the short run.

The difficulty of ascertaining the right second-best trade policy to follow

A) reinforces support for the third-best policy approach. B) reinforces support for increasing research capabilities of government agencies. C) reinforces support for abandoning trade policy as an option. D) reinforces support for free-trade options. E) reinforced support for the domestic market failure argument.