A New Technology Is Developed for Producing Solar Panels That

question 62

Multiple Choice

A new technology is developed for producing solar panels that reduces production costs by 40%. Which of the following is true?

• A) Firms will continue to operate efficiently as long as no firm adopts this new technology.
• B) For the economy to remain efficient, product produced with this new technology must be equitably distributed to all consumers.
• C) This new technology will affect efficiency, and will change the equilibrium price and quantity for this industry.
• D) If firms do not adopt this new technology, then the economy will remain in general equilibrium, because firms will not change their price and output decisions.

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A U.S. federal statute that governs the way administrative agencies of the federal government may propose and establish regulations.

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