Long-term increases in productivity that have increased the demand for labor, and raised real wages, have resulted primarily from ________ and ________.
A)technological progress; a modernized capital stock
B)technological progress; an increased labor supply
C)a modernized capital stock; skill-biased technological change
D)a modernized capital stock; an increased labor supply

Question

Quizplus · Accepted Answer

Technological progress and a modernized capital stock will increase worker efficiency, which increases the demand for labor and puts upward pressure on wages.

Long-Term Increases in Productivity That Have Increased the Demand for Labor