Total Factor Productivity Will Increase If

question 70

Multiple Choice

Total factor productivity will increase if:

• A)the company incurs fewer costs per input.
• B)current technology becomes obsolete.
• C)the company uses more total inputs per output.
• D)outputs increase.

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Definitions:

Tying Agreements

Business arrangements where the sale of one product is tied to the purchase of another product.

Seller's Product

The goods or services offered to buyers by a seller in the marketplace.

Antitrust Laws

Legislation enacted to prevent new monopolies from forming and to break up those that already exist, ensuring competition in the marketplace.

Monopoly Power

The ability of a company or entity to control or dominate an industry or sector, often to the point where competition is significantly reduced or eliminated.