Define worker-hours and labor productivity. What factors are behind labor productivity?
What will be an ideal response?
Worker-hours is the measure of work defined as the number of workers multiplied by the amount of time they work in a particular time period for example, a year. Labor productivity is real output per worker-hour; that is, the value of real output divided by the number of worker-hours.
Productivity is determined by technological progress, the amount and quality of capital goods per worker, the quality of labor itself, and the efficiency with which inputs are allocated, combined, and managed.
You might also like to view...
Firms in a(n) ________ produce an efficient scale of output
A) monopolistically competitive market B) monopoly market C) oligopoly market with differentiated products D) perfectly competitive market
When investigating the term structure of interest rates, the bonds compared are
A) identical except for their maturity dates. B) identical in maturity, but differ in terms of liquidity and risk. C) identical in terms of risk, but differ in terms of tax characteristics. D) identical except for their liquidity.
Which of the following items plays a role in determining productivity?
a. physical capital b. natural resources c. technological knowledge d. All of the above are correct.
Benefits from international trade are not based on differences in
A. resource availability. B. technological capabilities. C. income levels. D. product quality and other attributes.