If a technological advance expands output and requires a smaller investment in capital goods, this technological advance
A) is capital-using.
B) must involve nonﬁnancial investment.
C) is capital-saving.
D) must pertain to the infrastructure.

Question

Quizplus · Accepted Answer

If a technological advance requires a smaller investment in capital goods, it is considered capital-saving. This means that less capital is needed to produce the same amount of output.

If a Technological Advance Expands Output and Requires a Smaller