An economist says,"Technological advances have the power to lower the prices of many of the goods we buy." Here is how this works:
A) Technological advances lead to lower demand,which leads to lower prices.
B) Technological advances lead to greater supply,which leads to lower prices.
C) Technological advances lead to greater quantity supplied,which leads to lower prices.
D) Technological advances lead to lower taxes,which lead to greater supply,which leads to lower prices.
E) Technological advances lead to higher taxes,which lead to fewer subsidies,which lead to greater supply,which leads to lower prices.

Question

Quizplus · Accepted Answer

Technological advances often lead to more efficient production processes and lower production costs, which can increase the supply of goods and lead to lower prices. This is because producers are able to produce more goods at a lower cost, which allows them to lower their prices and still make a profit. As a result, consumers benefit from lower prices and increased access to the goods that they need or want.

An Economist Says,"Technological Advances Have the Power to Lower the Prices