The Evidence on the Potential for Input Substitution in the Service

question 22

Multiple Choice

The evidence on the potential for input substitution in the service sector suggests that:

• A)there may be more opportunities for input substitution than was previously thought, especially in areas such as health care, financial services, and the even the fine arts.
• B)the traditional view that the potential for input substitution is extremely limited is correct.
• C)while one or two areas of the service sector may see a small amount of input substitution, most areas will see little or none.
• D)input substitution will only be feasible so long as the production process requires a relatively small amount of labor to begin with.

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Definitions:

Ventromedial Hippocampus

A region of the hippocampus involved in the regulation of emotions, fear responses, and the formation of memories.

Hypothalamus

A region of the brain responsible for the regulation of certain metabolic processes and other activities of the autonomic nervous system.

Ventromedial Hypothalamus

A region of the hypothalamus involved in regulating hunger, satiety, and the body's energy homeostasis.

Lateral Hypothalamus

The lateral hypothalamus is a part of the brain involved in hunger and thirst regulation, among other physiological processes.