Question 18 (3 points) Saved Assume that a Cobb-Douglas production function is a good representation of the economy, the substitution effect is stronger than the income effect, the real wage is flexible, and that the economy was initially at equilibrium. Suppose that an earthquake hits the economy, destroying a large number of homes and manufacturing factories (including machines within the factories) but not causing any deaths or injuries in the population. If the real wage was perfectly flexible and given the change in the labor market, what would happen to the production function? A rightward movement along the production function (therefore no shift of the production function) A leftward movement along the production function (therefore no shift of the production function) An upward shift of the entire production function A downward shift of the entire production function