A Possible Externality Associated with the Process of Accumulating New

question 85

Multiple Choice

A possible externality associated with the process of accumulating new capital is that:

• A) a reduction in labor productivity may occur.
• B) new production processes may be devised.
• C) old capital may be made more productive.
• D) the government may need to adopt an industrial policy.

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Definitions:

Concrete Patio

A durable, outdoor floor surface made from a mixture of cement, aggregate, sand, and water, which is poured and shaped for leisure or decorative purposes.

Cubic Yards

A unit of volume used in the United States for materials like soil or concrete, equivalent to the volume of a cube with sides of one yard.

Wheelbarrow Loads

A measure of volume or capacity typically used informally, indicating how much material a wheelbarrow can contain.

Square Feet Coverage

The area, measured in square feet, that a specific amount of material will cover or that a device can affect or service.