If a New Computer Program Was Developed That Dramatically Improved

question 11

Multiple Choice

If a new computer program was developed that dramatically improved productivity in most firms,what would happen in the labor market?

• A) The real wage would not change but employment would decrease.
• B) The real wage would increase and employment would decrease.
• C) The real wage would decrease and so would employment.
• D) The real wage would decrease and employment would increase.
• E) The real wage would increase and so would employment.

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Definitions:

Startup

A new business venture in its early stages, typically characterized by innovation, fast growth, and a scalable business model.

Corporate Entrepreneurship

A process of creating new products, ventures, processes, or renewal within large organizations.

Intrapreneurship

The practice of applying entrepreneurial skills and approaches within an existing organization to drive innovation and strategic growth.

Planning

The process of making plans for something, including setting goals, defining steps, and allocating resources.