The idea that the production function exhibits _______implies that ________
A) increasing returns; output should increase steadily as technology grows
B) constant returns; each additional unit of labor employed generates an increasing amount of real GDP
C) diminishing returns; the Lucas Wedge increases at output increases
D) increasing returns; potential GDP is always increasing
E) diminishing returns; each additional unit of labor employed generates an ever-decreasing amount of real GDP
E
Economics