A small furniture workshop wants to increase the number of chairs it can produce each week using the same amount of wood and the same number of employees. Which of the following actions best represents an improvement in the workshop's 'technology' from an economic perspective?

Identifying Technological Improvement in a Business

A manufacturing firm is considering several actions to increase its production. Match each action with the economic description that best categorizes it.

Defining Technological Improvement in a Service Business

Economic vs. Everyday Views on Technological Change

A company that replaces all its manual typewriters with modern computers has, by definition, improved its technology from an economic standpoint.

Evaluating a Production Process Change

A bakery invests in a new, state-of-the-art oven that uses advanced digital controls. After a month of use, the bakery finds that it is producing 10% fewer loaves of bread per day using the same amount of flour, yeast, and labor. Based on this outcome, which statement accurately describes the situation from an economic perspective?

Proposing a Technological Improvement

A restaurant reorganizes its kitchen layout to reduce the time staff spend walking between the food preparation area and the customer service counter. If this change allows the restaurant to serve more customers per hour with the same number of employees, this is not considered a technological improvement from an economic standpoint because no new machinery was purchased.