Without technological progress a country can never enjoy sustained increases in living standards because:

Question

Quizplus · Accepted Answer

Diminishing marginal productivity implies that adding more of one input (like labor or capital), while holding other inputs constant, will eventually yield lower per-unit returns. Without technological progress to improve productivity, an economy will face diminishing returns, making sustained increases in living standards difficult to achieve.

Without Technological Progress a Country Can Never Enjoy Sustained Increases