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Assume you are looking at data for an economy that uses only two inputs, physical capital and labor. The table shows output for different combinations of labor (which changes as you move across the columns) and capital (which changes as you move down the rows).
Output at Different Levels of Capital and LaborLabor100 200 300 400
Capital 100 200 320 420 500200 250 400 530 640300 290 460 600 730400 320 500 660 800
According to the numbers in the table, which of the following statements is correct?
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