A Firm Has Successfully Adopted a Positive Technological Change When

question 314

Multiple Choice

A firm has successfully adopted a positive technological change when

• A)it can produce more output using the same inputs.
• B)it produces less pollution in its production process.
• C)it can pay its workers less yet increase its output.
• D)it sees an increase in worker productivity.

---

Definitions:

Composite Unit

A measurement or quantity combining two or more units to represent a product or system's multiple aspects.

Contribution Margin

The difference between the sales revenue and variable costs of a product, indicating how much contributes to covering fixed costs and earning profit.

Contribution Margin

The residual amount from sales income following the deduction of variable expenses, allocated for covering fixed costs and producing profit.

Variable Costs

Expenses that vary in relation to the amount of production or business activity.