Author Question: Technological advancement implies: a. the increase in the quantity of inputs needed to produce a ... (Read 41 times)

gonzo233 · **on:** Jun 30, 2018

Technological advancement implies:
a. the increase in the quantity of inputs needed to produce a given quantity of output.
b. the reduction in the quantity of inputs needed to produce a given quantity of output.
c. the reduction in the productivity of a sector of the economy that has become obsolete.
d. an increase in the labor to capital ratio in any production process.
e. the growth in the natural resource endowment.

Question 2

Assume an industry initially in equilibrium has a price floor imposed at a price above the equilibrium price. Total revenue received by the producers from sales will:
a. rise as a result.
b. rise as a result only if supply is elastic.
c. rise as a result only if demand is elastic.
d. rise as a result only if demand is inelastic.