Some Commentators Will Argue That Increases in Productivity May Have

question 13

Essay

Some commentators will argue that increases in productivity may have no effect or even a negative effect on employment in the short run.Explain what must occur for an increase in productivity to have no effect or even a negative effect on employment in short run.

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Definitions:

Minimum Cost

This refers to the lowest possible expense incurred in acquiring, producing, or maintaining a product or service without compromising quality or performance.

Marketable Securities

Liquid financial instruments that can easily be converted into cash, often used for short-term investments.

Cash Balances

Available cash on hand or in bank accounts that a company uses for daily operations.

Investments in Inventory

Funds allocated by a business to purchase goods and materials held for resale or production.