Suppose a Labor-Augmenting Technology Were Developed for a Product That

question 181

Multiple Choice

Suppose a labor-augmenting technology were developed for a product that increased the marginal product of labor for all workers. Which of the following would happen in the labor market for this product?

• A)Demand would decrease.
• B)Demand would increase.
• C)Supply would decrease.
• D)Supply would increase.

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Definitions:

Geographic Isolation

A situation where a population of species is physically separated from exchanging genetic material with other populations due to geographical barriers, leading to divergent evolution.

Reproductive Isolation

A set of mechanisms that prevent members of different species from producing offspring, or ensure that any offspring are sterile, thereby maintaining species boundaries.

Transgenic Organism

An organism that has been genetically modified to contain DNA from another species, allowing it to express traits not originally found in its genome.

Background Extinction

The natural rate at which species become extinct as part of earth's biological history, without human influence.