Multiple Choice

A textile factory owner in the late 18th century invested heavily in an early machine that allowed one worker to produce the output of eight traditional spinners. A few years later, a new machine became available that allowed a small team to replace the output of over 1,000 spinners. Given the dramatic difference in productivity, what was the most significant strategic challenge this new technology posed to the owner of the factory with the older machines?

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Updated 2025-07-23

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