If the Per-Worker Production Function Shifts Down

question 126

Multiple Choice

If the per-worker production function shifts down,

• A)it now takes more capital per hour worked to get the same amount of real GDP per hour worked.
• B)an economy can increase its real GDP per hour worked without changing the level of capital per hour worked.
• C)the per-worker production function becomes steeper.
• D)positive technological change has occurred in the economy.

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Definitions:

Adhesion Conscionability

A legal concept referring to the fairness of contract terms in a standard-form agreement, where one party has significantly more power to dictate the terms.

Exculpatory Clause

A statement in a contract that frees one party (usually the drafter of the agreement) from all liability arising out of performance of the contract, generally based on factors such as consumer ignorance or a great deal of unexplained fine print that serve to deprive the less powerful party of a meaningful choice.

Age of Majority

The legal age at which an individual is considered capable of entering into contracts and other legal bindings, marking the transition into legal adulthood.

Necessity

A concept in law and ethics that allows for actions under exceptional circumstances, typically for immediate need or survival.