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Impact of Technology on Labor Demand
easy

How does the advancement of technology primarily affect the demand for labor in various industries?

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Choose the Best Answer

A

It increases demand for low-skilled labor.

B

It creates a skills gap, increasing the demand for high-skilled labor.

C

It eliminates the need for any labor.

D

It has no effect on labor demand.

Understanding the Answer

Let's break down why this is correct

Answer

The advancement of technology affects the demand for labor in many industries by changing the types of jobs needed and how work is done. For example, when a factory introduces robots to assemble products, it may need fewer workers for manual tasks but could require more technicians to maintain and program those robots. This shift can lead to a decrease in demand for low-skill jobs while increasing the demand for high-skill jobs that require technical knowledge. Additionally, technology can make some jobs easier and faster, which may allow companies to produce more with fewer workers overall. As a result, workers may need to adapt by learning new skills to stay relevant in the job market.

Detailed Explanation

As technology improves, many jobs need special skills. Other options are incorrect because Some might think that technology means more low-skilled jobs; It's a common belief that technology removes all jobs.

Key Concepts

skills gap
Topic

Impact of Technology on Labor Demand

Difficulty

easy level question

Cognitive Level

understand

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