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Technological progress

In economics, technological progress refers to an improvement in the overall efficiency of production. It means an economy can produce more output using the same amount of inputs (like capital, labor, and land), or produce the same amount of output using fewer inputs.

Instead of just adding more machines or more workers, technological progress means discovering better ways to use them. This includes everything from the invention of the microchip and the internet to better management practices, supply chain software, and automation.