What Is Meant by the Factor Substitution Effect

question 130

Multiple Choice

What is meant by the factor substitution effect?

• A)The phenomenon of replacing consumer goods with capital goods.
• B)The phenomenon of replacing capital goods with consumer goods.
• C)The phenomenon of replacing technology with capital goods.
• D)The phenomenon of replacing one factor with another as a result of technological change.

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Definitions:

Common Goal

A shared objective or aim among a group of individuals or within an organization.

Directive Management Style

A leadership approach characterized by clear, authoritative instructions and close supervision of subordinates, often with little input from them.

Human Factors Psychology

A branch of psychology concerned with optimizing the interaction between people and products, systems, or environments through the application of psychological principles.

Viewing Work

The act of observing or examining work, typically in the context of assessing, analyzing or enjoying it.