Automated Production Methods Are Only Attractive When They

question 85

Multiple Choice

Automated production methods are only attractive when they

• A) are undertaken in heavily unionized sectors of the economy.
• B) reduce per-unit costs.
• C) replace workers.
• D) decrease labor productivity.

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Definitions:

Interest Rates

The percentage charged on a loan or earned through an investment, typically expressed annually as a fraction of the principal.

Bond Prices

The amount of money investors are willing to pay for existing bonds, influenced by interest rates, credit quality, and time to maturity.

Non-amortizable Debt

Debt that does not require regular principal payments over its life; interest may be paid periodically, but the principal is repaid at maturity.

Repayment

The act of paying back money previously borrowed from a lender.