The Introduction of a New Technology That Raises the Marginal

question 69

Multiple Choice

The introduction of a new technology that raises the marginal product of new capital will:

• A)decrease real interest rates and increase the equilibrium quantity of saving supplied and demanded.
• B)decrease real interest rates and the equilibrium quantity of saving supplied and demanded.
• C)increase real interest rates and the equilibrium quantity of saving supplied and demanded.
• D)increase real interest rates and decrease the equilibrium quantity of saving supplied and demanded.

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Definitions:

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how much the values differ from the mean.

Confidence Interval

A selection of values from statistical analyses of samples, likely to cover the value of an undiscovered population parameter.

Shelf Life

The length of time for which an item remains usable, fit for consumption, or saleable.

Brand A

A hypothetical or specified brand used in studies or comparisons to differentiate it from others in the market, often referred to generically.