The Assumption That Technological Progress Increases the Efficiency of Labour

question 52

Multiple Choice

The assumption that technological progress increases the efficiency of labour is called:

• A)endogenous technological progress.
• B)the efficiency-wage model of economic growth.
• C)labour-augmenting technological progress.
• D)the Golden Rule model of economic growth.

---

Definitions:

Large Firms

Corporations or companies that have a significant market capitalization, extensive operations, and a widespread influence in their industries.

Market Efficiency

A concept stating that all available information is already reflected in asset prices, making it impossible to consistently achieve higher returns without assuming additional risk.

Arbitrage Opportunities

Situations where a trader can profit from price differences of the same or similar financial instruments on different markets or in different forms.

Active Trading Strategies

Investment strategies involving frequent buying and selling of securities to exploit short-term price movements.