if productivity increases significantly and demand is not very elastic, what is likely to happen?\na. the…

if productivity increases significantly and demand is not very elastic, what is likely to happen?\na. the number of consumers will increase.\nb. fewer workers will be needed.\nc. division of labor will decrease.\nd. demand will increase.\nplease select the best answer from the choices provided\n○ a\n○ b\n○ c\n○ d

if productivity increases significantly and demand is not very elastic, what is likely to happen?\na. the number of consumers will increase.\nb. fewer workers will be needed.\nc. division of labor will decrease.\nd. demand will increase.\nplease select the best answer from the choices provided\n○ a\n○ b\n○ c\n○ d

Answer

Answer:

B. Fewer workers will be needed.

Brief Explanations:

When productivity increases (output per worker rises) and demand is inelastic (not very responsive to price/quantity changes), firms can produce the required output with fewer workers.

  • Option A: Inelastic demand doesn't directly lead to more consumers.
  • Option C: Higher productivity often relates to more division of labor (specialization), not less.
  • Option D: Inelastic demand means it won't increase much due to productivity change.