QUESTION 1 Labor productivity is defined as: A) output per worker B) output per capita C) output per worker and capital per worker D) capital per worker QUESTION 2 Match the word to the correct definition: Dimension returns to physical capital , Human capital, Entrepreneurs A) People who create new economic enterprises..__________ B) It encompases education, training, experience and other factors that affect the value of a worker's marginal product. __________ C) If the amount of labor and other inputs employed is held constant, then the greater the amount of physical capital already in use, the less an additional unit of capital adds to production. __________ QUESTION 3 The convergence hypothesis suggests that: A) relatively rich countries will eventually have much higher rates of growth of real GDP per capita compared to relatively poor countries. B) relatively poor countries, because they began with a temporal disadvantage in industrializing, will never have growth rates of real GDP per capita that converge with the rate of rich countries. C) differences in real GDP per capita among countries tend to narrow over time because countries that begin with lower real GDP per capita tend to have higher growth rates. D) relatively poor countries should have lower growth rates of real GDP per capita compared to rich countries. QUESTION 4 The key indicator of a country's living standard and economic well being is: A) real GDP average labor productivity B) the inflation rate C) the unemployment rate D) real GDP per capita QUESTION 5 is real gross domestic product (GDP) divided by the population size. A) Diminishing returns to physical capital B) Real GDP per capita C) Total factor productivity D) The aggregate production function
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Labor productivity is a measure of economic performance that compares the amount of goods and services produced (output) with the number of hours worked to produce those goods and services. It's essentially about how efficiently labor is used in the production Show more…
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