answer asap

Which of the following is most correct? Following the increase in capital, households are worse-off [i.e., they have lower utility] because they don't get additional leisure and their capital rental income declines. Following the increase in capital, households experience no change in utility because the rental rate decrease is offset by the wage increase. Following the increase in capital, households are better-off [i.e., they have greater utility] because they get more consumption without giving up leisure