How do increases in technology affect the aggregate production function? O A. With better technology, the aggregate production function shifts down because fewer workers are needed. O B. Even with technology increases, the aggregate production function will remain constant unless the technology increases are matched by increases in the physical capital stock. O C. As technology increases, diminishing marginal product sets in such that each unit of technology produces less output OD. With increases in technology, the aggregate production function shitts up, indicating more output is produced from the same amount of inputs.

How do increases in technology affect the aggregate production function? O A. With better technology, the aggregate production function shifts down because fewer workers are needed. O B. Even with technology increases, the aggregate production function will remain constant unless the technology increases are matched by increases in the physical capital stock. O C. As technology increases, diminishing marginal product sets in such that each unit of technology produces less output OD. With increases in technology, the aggregate production function shitts up, indicating more output is produced from the same amount of inputs.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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