Technological progress will:
A)shift the investment schedule downward and increase the level of employment.
B)shift the investment schedule downward and decrease the level of employment.
C)increase unplanned investment in inventories.
D)shift the investment schedule upward and increase the equilibrium level of GDP.

Question

Quizplus · Accepted Answer

Technological progress will shift the investment schedule upward as firms will invest in more capital to take advantage of the new technology. This will increase the equilibrium level of GDP as firms expand production and potentially hire more workers.

Technological Progress Will