Economics (McConnell), AP* Edition, 20th Edition

LO 13W.1

Differentiate between invention, innovation, and technological diffusion.

LO 13W.2

Explain how entrepreneurs and other innovators further technological advance.

LO 13W.3

Summarize how a firm determines its optimal amount of research and development (R&D).

LO 13W.4

Discuss how technological change can increase profits by raising revenues or lowering costs.

LO 13W.5

Relate why firms can benefit from their innovation even though rivals have an incentive to imitate it.

LO 13W.6

Discuss the role of market structure in promoting technological advance.

LO 13W.7

Show how technological advance enhances productive efficiency and allocative efficiency.