If a technological advance expands output and requires a smaller investment in capital goods, this technological advance
A)is capital-using.
B)must involve nonfinancial investment.
C)is capital-saving.
D)must pertain to the infrastructure.

Question

Quizplus · Accepted Answer

This technological advance is considered capital-saving because it allows for an increase in output with a smaller investment in capital goods, meaning it saves on the amount of capital needed to produce a certain level of output.

If a Technological Advance Expands Output and Requires a Smaller