To Improve the Work Environment for Its Engineers, Segment

question 110

Multiple Choice

To improve the work environment for its engineers, Segment.com rearranged its work areas to move the engineers to the quietest area of its building, and moved its sales and marketing force to to the loudest area.The result was an increase in output equivalent to hiring 10 to 15 additional workers.Which of the following statements best describes this change at Segment.com?

• A)The change implemented is not an example of technological change because it did not require the use of new machinery or equipment.
• B)Technological change refers only to the introduction of new products or improvements to existing products. As such, the scenario described in the question is not technological change.
• C)The firm is able to produce more output using the same number of inputs. Therefore, Segment.com has implemented a positive technological change.
• D)The scenario described is an example of management efficiency and not technological change. Essentially, the firm changed its way of operating its business.

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Definitions:

P-value

A statistic that quantifies the probability of observing the obtained results, or more extreme, if the null hypothesis is true.

Significance Level

The threshold below which a p-value indicates that the observed data is unlikely to have occurred by chance, leading to rejection of the null hypothesis.

Null Hypothesis

A statement in statistical analysis that proposes there is no significant effect or difference between certain variables or groups.

Statistical Test

A method of making decisions or inferences about population parameters based on sample data, often involving a comparison between an observed test statistic and a critical value.