Technological Advances

question 58

Multiple Choice

Technological advances

• A) rarely result in an increase in productivity.
• B) always involve buying lots of expensive equipment.
• C) introduce new techniques or methods so that firms can produce more with less.
• D) are equally common across all firms.
• E) are always the result of private-sector innovation.

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Definitions:

Subsidize

To provide financial support or assistance, often by the government, to lower the cost of producing goods or services.

Ideas In Motion

The concept of actively pursuing and implementing new ideas and innovations.

Money Rate

The rate of interest charged on short-term loans by banks to their customers.

Real Rate

The interest rate that has been adjusted for inflation, reflecting the real cost of borrowing or the real yield on an investment.