Which Change Will NOT Increase the Productivity of Labor

question 53

Multiple Choice

Which change will NOT increase the productivity of labor?

• A) technological improvements
• B) an increase in the capital stock
• C) improvements in education
• D) an increase in the size of the labor force

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Definitions:

Fixed Cost

A cost that does not change with an increase or decrease in the amount of goods or services produced or sold.

Per Unit Basis

A method of expressing costs, pricing, or other financial measures on a per single unit of product or service basis.

Indirect Costs

Expenses not directly tied to a specific product or service, such as overheads, that are necessary for running a business.

Variable Costs

Costs that change in proportion to the level of production or sales activity, such as raw materials and direct labor.