Definition

Labor-Saving Technology

A labor-saving technology is a production method that reduces the amount of labor required to produce a specific quantity of output compared to another available technology. For instance, if an economy were to switch from Technology E (requiring 10 workers) to Technology B (requiring 4 workers) to produce 100 meters of cloth, this would be considered the adoption of a labor-saving technology.

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Updated 2025-10-07

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