Which of the following is likely to happen if the level of technology used in an economy improves,assuming all else equal?
A) The economy's labor demand curve will shift to the right.
B) The economy's labor demand curve will shift to the left.
C) There will be an upward movement along the labor demand curve.
D) There will be a downward movement along the labor demand curve.

Question

Quizplus · Accepted Answer

When the level of technology improves, it increases productivity and efficiency, which results in higher output levels. This leads to an increase in demand for labor as businesses need more workers to produce the higher output. Therefore, the labor demand curve shifts to the right.

Which of the Following Is Likely to Happen If the Level