 For instance, to get an output of O1 then OC1 amount of capital will be used and OL1 units of labour will be employed.If OL2 units are available the excess supply of labour would not have any effect on production techniques and L1L2 (excess labour) will remain unemployed or will try to seek employment in the traditional sector.This proves that only when the capital increases more labour will be taken in and output will be expanded.