In Recent Years in the United States Both Technology and Capital

question 22

True/False

In recent years in the United States both technology and capital have contributed substantially to productivity growth, suggesting that policy should not focus solely on one determinant at the expense of the other.

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Definitions:

Specialization

The process by which individuals, businesses, or countries focus on producing a limited range of goods or services to gain greater efficiency and productivity.

Trade Barriers

Measures such as tariffs, quotas, and regulations implemented by governments to control international trade and protect domestic industries.

NAFTA

The North American Free Trade Agreement, a treaty between the United States, Canada, and Mexico that eliminated most tariffs and trade barriers between the countries.

Comparative Advantage

The ability of an entity to produce a good or service at a lower opportunity cost than others.