Suppose firm X implements a new method for extracting copper from copper-bearing ore. This is an example of
A) product innovation.
B) process innovation.
C) economics of scale.
D) the inverted-U theory.

Question

Quizplus · Accepted Answer

The new method for extracting copper is a process innovation, as it is an improvement in the way the firm carries out a particular task or activity. Product innovation would involve creating a new product or significantly improving an existing product. Economics of scale refers to the cost advantages associated with producing on a larger scale, while the inverted-U theory is a theoretical concept that describes the relationship between innovation and economic growth.

Suppose Firm X Implements a New Method for Extracting Copper