The average product of labor is A) positively related to economic growth

Accounting Dec 09, 2020

The average product of labor is

A) positively related to economic growth.

B) the output produced per worker.

C) the total product of labor divided by the number of workers.

D) a direct measure of the productivity of labor.

E) all of the above.

Expert Solution

The correct option is (e) i.e. all of the above.

Average product of labor is the output per unit of labor employed. It is calculated by dividing total product by the number of labor. It is the measure of productivity of labor and, hence, it is positively related to the economic growth. It implies that higher the productivity, the higher the growth of the nation.

Archived Solution

Unlocked Solution

You have full access to this solution. To save a copy with all formatting and attachments, use the button below.

Already a member? Sign In

Important Note: This solution is from our archive and has been purchased by others. Submitting it as-is may trigger plagiarism detection. Use it for reference only.

For ready-to-submit work, please order a fresh solution below.

Or get 100% fresh solution

Get Custom Quote