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When Technology Replaces Low-Skilled Jobs in One Industry, in the Short-Run

Question 59

Multiple Choice

When technology replaces low-skilled jobs in one industry, in the short-run, there is loss of low-skilled jobs. The long-run impact is:


A) higher productivity leading to a better standard of living.
B) higher wages in low-skilled jobs.
C) lower productivity leading to a worse standard of living.
D) the loss of jobs in other industries.

Correct Answer:

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