Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
It can lead to increased innovation as companies find new ways to operate.
B
It can stifle innovation due to a lack of qualified personnel to implement new ideas.
C
It has no effect on innovation as technology can fill the gaps.
D
It can improve innovation by forcing companies to hire more efficiently.
Understanding the Answer
Let's break down why this is correct
Answer
A shortage of skilled labor can greatly affect innovation in an economy because companies need talented workers to develop new ideas and technologies. When there aren't enough skilled workers, businesses might struggle to complete projects or create new products, slowing down their growth and progress. For example, if a tech company wants to build a new app but can't find programmers with the right skills, they might have to delay the launch, missing out on potential customers and revenue. This lack of innovation can also make it harder for the economy to keep up with competitors, as other countries or regions with a skilled workforce may advance more quickly. Overall, without enough skilled workers, the ability to innovate and improve can be seriously limited.
Detailed Explanation
When there aren't enough skilled workers, companies struggle to turn new ideas into reality. Other options are incorrect because Some might think fewer workers means more creativity; It's a common belief that technology can solve all problems.
Key Concepts
Innovation
Skilled labor shortages
Topic
Skilled Labor and Economic Growth
Difficulty
medium level question
Cognitive Level
understand
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