When Economists View Technological Change as Internal to the Economy

question 223

Multiple Choice

When economists view technological change as internal to the economy, they mean that it

• A)occurs randomly.
• B)occurs accidentally.
• C)arises deliberately from the profit motive and competition.
• D)arises mainly from government subsidies.

Understand the concept of variable costs and how they are influenced by production levels.

Learn the principles of fixed costs and how they remain constant regardless of changes in production or sales volume.

Identify and distinguish between various types of costs such as sunk costs, period costs, product costs, and opportunity costs.

Calculate total costs, including both variable and fixed components, at different levels of production or sales volume.

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Definitions:

Oedipus Complex

A conflict of the phallic stage in which the boy wishes to possess his mother sexually and perceives his father as a rival in love.

Electra Complex

A psychoanalytic concept, proposed by Freud, suggesting a girl's sense of competition with her mother for the affections of her father.

Social Cognitive Theory

A theoretical framework that emphasizes the role of observational learning, social experience, and reciprocal determinism in the development of personality and behavior.

Behaviorism

The school of psychology that defines psychology as the study of observable behavior and studies relationships between stimuli and responses.