Suppose Total Factor Productivity Increases

question 16

Multiple Choice

Suppose total factor productivity increases. Which of the following is incorrect?

• A) Households are better off.
• B) Consumption goes up.
• C) The real wage goes down.
• D) Output goes up.

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Definitions:

Anticipating Problems

The ability to foresee and prepare for potential issues before they occur.

Setting Objectives

The act of establishing specific, measurable, achievable, relevant, and time-bound goals for an individual or organization to accomplish.

Alternatives

Different options or choices available in a given situation.

Monitoring

The regular observation and recording of activities or processes to ensure they are proceeding as expected.