While Information Systems Have Greatly Improved Productivity, They Have Had

question 68

True/False

While Information Systems have greatly improved productivity, they have had little impact on lowering costs.

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Definitions:

Substitutes

Goods or services that can replace each other in use or consumption, where an increase in the price of one leads to an increase in demand for the other.

Nonrival in Consumption

Nonrival in Consumption describes a good where one individual's consumption does not reduce availability to others, such as a public broadcast.

Efficient Price

Price level at which the quantity demanded and supplied in a market are at equilibrium, leading to an optimal distribution of resources.

Common Resources

Resources like air or water that are not owned by anyone, cannot be consumed by one user without reducing available supply for others, and are available to all.