Author Question: You are sick and tired of your old wardrobe. You decide to donate it to a charity of your choice. ... (Read 161 times)

dakota nelson · **on:** Jul 1, 2018

You are sick and tired of your old wardrobe. You decide to donate it to a charity of your choice. Your action
a. Creates wealth by moving the clothes from lower value use to higher value use
b. Destroys wealth since you lose your clothes
c. Creates wealth by making you feel richer
d. All of the above

Question 2

Technological advancement creates unemployment in firms that shut down or labor that is laid off. Wealth in this case is
a. Destroyed, since firms are shutting down and production of certain goods and services decreasing
b. Created, since the dislocated labor and resources are absorbed by new firms created through the technological innovation, moving them to higher value use
c. Destroyed, since technological progress is leading to higher unemployment
d. None of the above