Question : 11) The processes a firm uses to turn inputs into : 1245246

11) The processes a firm uses to turn inputs into outputs of goods and services is called

A) technology.

B) technological change.

C) marginal analysis.

D) positive economic analysis.

12) When a firm produces more output using the same inputs or the same output using fewer inputs we say that the firm

A) experiences an increase in demand.

B) experiences positive technological change.

C) will hire more workers in order to produce more output.

D) is operating in the short run.

13) When a firm experiences a positive technological change

A) the price of a share of the firm’s stock rises.

B) the firm is able to produce more output using the same inputs, or the same output using fewer inputs.

C) the value of the firm’s assets rises.

D) the firm will hire additional workers in order to increase production.

14) A “stockout” occurs when

A) brokers run out of shares of stock to sell of a particular company.

B) a disruption due to a power outage, etc., causes a temporary production shutdown.

C) a company holds too many goods in inventories.

D) a firm loses sales because goods consumers want are not available.

15) Technological change is a key reason why Wal-Mart has become one of the largest firms in the world. Which of the following is a change in technology implemented by Wal-Mart?

A) Wal-Mart developed a supply chain that allows it to manage inventories efficiently.

B) Instead of buying goods it sells from other companies, Wal-Mart makes many of these goods in its own factories.

C) Wal-Mart employs hundreds of scientists and engineers who develop new cost-saving techniques.

D) Wal-Mart hires managers from many of the top business schools in the United States.

16) Which of the following statements correctly describes the distinction between technology and technological change?

A) Technology refers to the processes used by a firm to transform inputs into output of goods and services while technological change is a change in a firm’s ability to produce a given level of output with a given quantity of inputs.

B) Technology refers to the ability of a firm to increase its maximum output from a given quantity of inputs and technological change is the process by which the firm achieves this productivity gain.

C) Technology is product-centered; its refers to developing new products with limited resources while technological change is process-centered in that it focuses on developing new production techniques.

D) Technology involves research and development while technological change involves the use of more efficient machinery.

17) The process a firm uses to turn inputs into outputs of goods and services is called technology.

18) If a firm experiences positive technological change, it is able to produce more output using the same inputs.

19) When a firm experiences negative technological change it can produce the same output with fewer inputs.

20) In economics, technology only refers to the development of new products.