Capital-Intensive Production Techniques in the Developed World Save Labor and Increase

question 8

Multiple Choice

Capital-intensive production techniques in the developed world save labor and increase output.In less developed countries,what is the main impact of capital intensification?

• A) Governments are less responsive to the needs of the people.
• B) Workers are displaced, eliminating critically needed jobs.
• C) More of the budget is devoted to military spending.
• D) Standards of living are higher.
• E) Human capital increases.

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Definitions:

Marginal Social Cost

The additional cost to society of producing one extra unit of a good or service.

Garbage Disposal

A device installed under a kitchen sink that shreds food waste into small pieces to pass through plumbing.

Recycling

The process of converting waste materials into new products to prevent waste of potentially useful materials, reduce consumption of fresh raw materials, and lower energy usage and pollution.

Marginal Benefit

The additional satisfaction or utility that a person receives from consuming an additional unit of a good or service.