When new technologies are applied to the production and distribution of goods and services:
A)scarcity is eliminated.
B)diminishing returns to capital no longer hold.
C)diminishing returns to capital still hold.
D)average labor productivity decreases.

Question

Quizplus · Accepted Answer

Although new technologies generally improve average labor productivity, technological additions are still subject to diminishing returns to capital.

When New Technologies Are Applied to the Production and Distribution