According to Simon Kuznets, Which of the Following Is Likely

question 81

Multiple Choice

According to Simon Kuznets, which of the following is likely to induce economic growth in the automobile industry of a country?

• A) an increase in the amount of labor used in the industry
• B) a government subsidy for automobile production
• C) an increase in the import of spare parts for the engines
• D) an increase in the number of paint bays per factory
• E) the replacement of manual assembly lines with robots

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Definitions:

Excess Capacity

The situation in which a facility or operation can produce more than is being demanded by its customers.

Distribution Sites

Locations where goods are stored and distributed to retailers or directly to customers.

Storage Sites

Locations where goods or materials are held temporarily or permanently before they are distributed to the final consumer.

Excess Capacity

The situation where a company's production capabilities exceed the current demand for its products or services, leading to underutilized resources.