Suppose a country experiences destruction of part of its existing capital stock, K. Use the intemporal neoclassical model to determine the shifts of the models' curves and the economic outcomes. Make no assumptions regarding the magnitudes of the particular shifts of curves.

Labor supply (increase / decrease / indeterminate / no change)? Labor demand (increase / decrease / indeterminate / no change)? Employment (increase / decrease / indeterminate / no change)?

Wages (increase / decrease / indeterminate / no change)? Money supply (increase / decrease / indeterminate / no change)? Money demand (increase / decrease / indeterminate / no change)? Price level (increase / decrease / indeterminate / no change)?

Give explanation