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In the specific-factors model, what is the change in the rental of land, given the following information? Manufacturing: Sales revenue = $200; Payments to labor=$120;

In the specific-factors model, what is the change in the rental of land, given the following information? Manufacturing: Sales revenue = $200; Payments to labor=$120; Payments to capital = $80 Agriculture: Sales revenue = $200; Payment to labor = $100; Payments to land = $100 Percentage increase in Price: Manufacturing = 10%; Agriculture = 0% Percentage increase in wage in both industries = 5%

a.-5%

b.7.5%

c.-10%

d. 15%

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