Achange in an input price will alter both production costs and the profit-maximizing output. thus a decline in the price of capital will reduce production costs, increase the profit-maximizing output, and thereby increase the demand for labor. this describes the:
a. output effect.
b. substitution effect.
c. idea of derived demand.
d. law of diminishing returns.
i ! because i kinda got imformation form google!
the new nation also faced economic and foreign policy problems. a huge debt remained from the revolutionary war and paper money issued during the conflict was virtually worthless. in violation of the peace treaty of 1783 ending the revolutionary war, britain continued to occupy forts in the old northwest.
the settlers at jamestown didn't have enough food. because they felt unsafe moving away from the settled area, shortages of food were a big concern. many colonists died from a lack of food. a third issue the colonists faced was weather.