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BaLLatris [955]
3 years ago
14

Which production factors are easiest to influence through government policies?

History
1 answer:
alexandr402 [8]3 years ago
6 0

<u>Labor and capital can be more easily influenced by goverment policies than land or natural resources</u>, which cannot be boosted in a certain country if its territory lacks reserves of such inputs.

  • Labor demand and supply can be easily influenced by the manipulation of a minimum wage level. If such minimum wage is established over the market equilibrium, wages paid would increase and employers would decrease the amount of labor demand. If the minimum wage is eliminated, demand would be enhanced.
  • Capital demand and supply can be influenced, for example, by the imposition of taxes. If the transactions for the purchase of physical capital require the payment of high taxes, producers would demand less and delay as much as possible the replacement of the equipment. On the other hand, if taxes are eliminated or subsidies are established they would take the opportunity to replace the machines.
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The Silk Road was a vast trade network connecting Eurasia and North Africa via land and sea routes.

The Silk Road earned its name from Chinese silk, a highly valued commodity that merchants transported along these trade networks.

Advances in technology and increased political stability caused an increase in trade. The opening of more trade routes caused travelers to exchange many things: animals, spices, ideas, and diseases.

In the first century CE, during the reign of Emperor Tiberius, silk had become a big problem. The luxury fabric, imported at great cost from China, had become a symbol of decadence and excess among Romans. In order to make their supply of silk last longer, merchants unraveled and re-wove their fabric into thinner, sheer garments. This practice had a side-effect of making the garments nearly transparent.

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“I can see clothes of silk, if materials that do not hide the body, nor even one's decency, can be called clothes. ... Wretched flocks of maids labor so that the adulteress may be visible through her thin dress, so that her husband has no more acquaintance than any outsider or foreigner with his wife's body.”

In the year 14 CE, the Roman historian Tacitus reported that the Imperial Senate made it illegal for men to wear silk, resolving that "Oriental [Eastern] silks should no longer degrade the male sex. "

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Emperor Wu sent an emissary named Zhang Qian to find allies in the fight against the Xiongnu. Zhang returned to China, eager to discuss the wonders he had seen in Ferghana—modern-day Uzbekistan. Along with rice, wheat, and grapes, the region produced hardy, "heavenly" horses.

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