Labour productivity, defined as real GDP per labour, decreases if: - a flood destroys a sorting facility - time taken for decision making in a financial company is reduced - the quantity of capital per worker increases - the average educational level of the workforce increases - postal companies adopt improved parcel sorting technology
Added by Wendy B.
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Step 1: Labour productivity decreases if a flood destroys a sorting facility because it reduces the capacity for workers to efficiently sort and process goods, leading to a decrease in real GDP per labour. Show more…
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If the per-worker production function shifts down, Group of answer choices it now takes more capital per hour worked to get the same amount of real GDP per hour worked. positive technological change has occurred in the economy. the per-worker production function becomes steeper. an economy can increase its real GDP per hour worked without changing the level of capital per hour worked.
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KEY QUESTION To what extent have increases in U.S. real GDP resulted from more labor inputs? From higher labor productivity? Rearrange the following contributors to the growth of productivity in order of their quantitative importance: economies of scale, quantity of capital, improved resource allocation, education and training, technological advance. LO2
Real GDP equals _________ times _________. a. Average hours of work; quantity of capital. b. Average hours of work; allocative efficiency. c. Labor input; labor productivity. d. Natural resources; improvements in technology.
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