Learning by doing, which leads to lower costs in the long run, is often
A)increased when new machinery is brought into the production process.
B)a function of cumulative output, that is producing more of the good or service.
C)improved through better use of computers in the production process.
D)not very important to most firms.

Question

Quizplus · Accepted Answer

Learning by doing refers to the process by which workers become more efficient and productive simply by doing a task repeatedly. As workers gain experience, they learn how to do their jobs more efficiently and effectively, which results in lower labor costs and higher output levels. This process is cumulative, meaning that as more goods and services are produced, workers become even more skilled and efficient, leading to further cost savings. The other options are not directly related to the concept of learning by doing.

Learning by Doing, Which Leads to Lower Costs in the Long