Influence of technological change

Influence of technological change

Technology refers to the available known ways of producing an output using certain inputs. Technological change means improvement in the production know-hows so that the level of output is enhanced. It shifts the production function over some range as to produce more output with same quantity of input or lesser even. Therefore, while analyzing functional relationships between the outputs, say, fish produced, it is generally assumed that the input remains the same.

Last modified: Tuesday, 22 November 2011, 5:42 AM