Question

what does new technology generally do to production

Answer 1

what new technology generally do to production is making a lot of goods and services, which increases the supplies. And by having many supplies, the cost should be lowered because the product is more available.

Answer 2

on the other hand, if supplies decreases, price should increase because the product is on scarce. There's less of it, but at the same time, we want to make more money out of it.

Answer 3

new technology enables the people to get what they want such as 3-D printers increasing demand and increasing supply while lowering cost.

Answer 4

Not sure where this question comes from, but looking at neoclassical production functions, new technology scales up the production. That is we can produce more output with the same amount of inputs.

Answer 5

Yeah, I definitely agree with Linus--increases in technology means you can produce more, more cheaply.