An increase in human capital _______ labor productivity and _______ the diminishing returns to capital. A. increases; eliminates B. decreases; does not eliminate C. increases; does not eliminate D. increases; sometimes eliminates and sometimes does not eliminate E. decreases; eliminates Part 2 An example of an increase in human capital is _______. A. your college buys more computers B. you work more hours at your part-time job C. attending college D. your labor productivity increases Part 3 In the graph, draw a productivity curve. Label it PC Subscript 0. Draw a point to show real GDP per hour of labor when capital per hour of labor is $120. Label it 1. Then illustrate the effect of an increase in human capital. Draw either a new productivity curve labeled PC Subscript 1 or an arrow along the curve showing the direction of change. Draw a point to show the real GDP per hour of labor when capital per hour of labor is $120. Label it 2