The Drop in Administrative Costs Relative to Transaction Costs Is

question 46

Multiple Choice

The drop in administrative costs relative to transaction costs is explained by:

• A)Dominant firms' ability to push down wages.
• B)A relentless search for lowering operational costs
• C)The emergence of globalisation
• D)An increase in the efficiency of firms, induced by improvements in technology and management techniques

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Definitions:

Population Growth

The growth of a population's size over a period.

Global Resource Demand

The worldwide need or desire for resources such as energy, minerals, and agricultural products, driven by population growth and economic development.

Technological Progress

Advances in technology that improve the efficiency of production processes, leading to higher output with the same or lower input levels.

Total Fertility Rate

The average number of children that would be born to a woman over her lifetime in a specific population or country.