Technological Innovation Can Be a Double-Edged Sword in the Development

question 2

Multiple Choice

Technological innovation can be a double-edged sword in the development of manufacturing because:

• A) it can substitute rapidly for labour
• B) it is hard to translate innovation into production
• C) it creates new products or processes that then require new production conditions
• D) many products resist production by new technologies

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Definitions:

Capital Market Security

Financial instruments like stocks and bonds that are traded in capital markets involving long-term investments.

Treasury Bill

Short-term government security issued at a discount from the face value and mature in a year or less, representing a safe investment.

Common Stock

A type of share or equity ownership in a company, giving holders voting rights and a share in the company's profits via dividends.

Securities Exchange Act

A U.S. law enacted in 1934, which governs the trading of securities, such as stocks and bonds, to protect investors and maintain fair and efficient markets.