When robots are used to replace workers on a factory production line, the wage gap between skilled and unskilled workers
A)will increase only if the company can increase the price of its product.
B)is likely to increase.
C)is likely to decrease.
D)will not change.

Question

Quizplus · Accepted Answer

When robots are used to replace workers on a factory production line, it is likely that the wage gap between skilled and unskilled workers will increase. This is because the robots can perform the same tasks as unskilled workers, but skilled workers are still needed to operate and maintain the robots. Therefore, the demand for skilled workers will increase, causing their wages to rise relative to those of unskilled workers.

When Robots Are Used to Replace Workers on a Factory