If society wishes to increase living standards while minimizing sacrifices of present consumption, it should encourage:

Question

Quizplus · Accepted Answer

Technological improvement allows for more efficient production and increased output with the same amount of resources, thus increasing living standards without sacrificing present consumption. Growth in labor supply may lead to lower wages and increased competition for jobs, while growth in capital may require sacrificing present consumption for investment. Decreases in capital also reduce production potential and living standards.

If Society Wishes to Increase Living Standards While Minimizing Sacrifices