In 1971, a Bank Worker Could Process 265 Checks in 1

question 221

Multiple Choice

In 1971, a bank worker could process 265 checks in 1 hour.Currently, computers with built-in reader-sorter processing capacity have pushed that number above 100,000 checks per hour.Economists describe this type of activity as

• A)exploitation of labor.
• B)an increase in labor productivity.
• C)speed-up.
• D)comparative advantage.
• E)mutual gains from voluntary trade.

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Definitions:

Conversion Ratio

The specified number of shares that can be converted from a convertible security.

Current Market

The existing state of the market, including current prices, volumes, and trends, reflecting the most recent period of trading.

TIPS Bond

Treasury Inflation-Protected Securities (TIPS) are U.S. government bonds that are indexed to inflation in order to protect investors from the negative effects of rising prices.

Coupon Rate

The annual interest rate paid by a bond issuer to its bondholders, expressed as a percentage of the bond's face value.