Suppose an Economy Experiences an Increase in Productivity

question 53

Multiple Choice

Suppose an economy experiences an increase in productivity. The AD curve will most likely shift to the right when this increase in productivity is the result of which of the following?

• A) Government subsidies for higher education.
• B) An increase in human capital.
• C) New tax incentives for R&D spending.
• D) A reorganisation of production designed to reduce costs with existing technology.
• E) Implementation of major technological breakthrough.

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Definitions:

Body Temperature

The measure of the warmth or coldness of a body, typically maintained within a range that allows the organism's physiological processes to function efficiently.

Ectotherms

Organisms that regulate their body temperature through external sources, rather than generating much heat internally.

Thermoregulation

The process of maintaining body temperature within certain limits despite changes in the surrounding temperature.

Internal Metabolism

The complex set of chemical transformations within the cells of living organisms that are crucial for life, including energy production and the synthesis of necessary compounds.