Two Factories Make Wooden Chairs

question 282

Multiple Choice

Two factories make wooden chairs. If the workers in factory A make each chair from start to finish and the workers in factory B divide labor, one would assume

• A) the chairs in factory A are of higher quality.
• B) the workers in factory B have more job satisfaction.
• C) factory B can take advantage of division of labor and produce more efficiently.
• D) factory A can take advantage of division of labor and produce more efficiently.

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Definitions:

In-Kind Transfers

Non-monetary transfers of goods or services provided directly to individuals by governments or organizations as part of welfare programs.

Earned Income Tax Credit

The Earned Income Tax Credit is a refundable tax credit in certain jurisdictions intended to benefit working individuals and families, especially those with lower incomes.

Food Stamps

A government-issued voucher program designed to help low-income individuals and families afford food.

Technological Change

The overall process of invention, innovation, and diffusion of technology or processes that often leads to significant improvements in productivity or efficiency.