There Is a Technological Improvement in the Production of Good

question 49

Multiple Choice

There is a technological improvement in the production of good X.As a result,the _____________ curve for good X will shift ____________ resulting in a(n) _____________ in the equilibrium price of X and a(n) ____________ in the equilibrium quantity of X.

• A) supply; rightward; decrease; increase.
• B) demand; leftward; decrease; decrease
• C) demand; rightward; increase; increase
• D) supply; leftward; increase; decrease
• E) supply; leftward; increase; increase

Comprehend the role of the marginal revenue product curve in determining input demand.

Apply the marginal productivity theory of income distribution to understand resource compensation.

Understand the relationship between market competitiveness and elasticity of resource demand.

Grasp the concept of Marginal Revenue Product (MRP) and its significance in hiring decisions.

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Definitions:

JIT

Just-In-Time, a management strategy that aligns raw-material orders from suppliers directly with production schedules, aimed at reducing inventory costs.

Downstream

Refers to activities or processes that happen after the initial production phase, often relating to the distribution, refining, and retailing of products.

SCM Systems

Supply Chain Management systems, software solutions designed to manage and optimize the flow of goods, services, and information from supplier to customer.

Interorganizational IS

Information systems that facilitate communication and transaction between different organizations, enhancing collaboration.