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A war destroys much of the capital stock in the country of Omega. Holding other factors constant, as a result?

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A war destroys much of the capital stock in the country of Omega. Holding other factors constant, as a result the real wage in Omega _____ and employment in Omega ______.

A. increases; increases

B. increases; decreases

C. increases; does not change

D. decreases; increases

E. decreases; decreases

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  1. A. increases; increases

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