Technology Flashcards
1
Q
Invention
A
New knowledge developed in pure science
2
Q
Innovation
A
Application of intention to create a product
3
Q
Examples of innovation
A
After X ray machines were discovered innovation led to machines being being built for medical implications
4
Q
5 effects of technological change
A
- Increased production
- Decreased cost
- Increased contestability
- Affect methods of production
- Create new products and services
5
Q
Creative destruction
A
When the creation of a new technology destroys and replaces old technology
6
Q
Negative example of creative destruction
A
When Uber creatively destroyed independent taxi drivers
7
Q
Why is creative destruction an advantage of free markets
A
It increases productivity as old technology gets destroyed
8
Q
What is the impact of a technological change
A
Increase in productivity decreases cost, increases contestability, creates new products and services
