If a Nation Has a Higher Level of Technology Than

question 93

Multiple Choice

If a nation has a higher level of technology than another nation it can produce:

• A) more outputs with the same level of physical capital.
• B) less with the same amount of physical capital.
• C) more with no use of human capital.
• D) the same output with the same level of inputs.

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Definitions:

Interest Rates

The cost of borrowing money, typically expressed as a percentage of the total amount loaned, which can influence economic activity and monetary policy.

Land Rent

The price paid for the use of land or real estate, often determined by its location, size, and utility.

Surplus Payment

Payment or benefit received that exceeds the minimum amount necessary for the transaction or exchange to occur.

MB = MC Rule

The principle that firms maximize profit by producing where marginal benefit (MB) equals marginal cost (MC), determining the optimal level of output.