Question

Suppose real GDP for a country is $1,200 billion. The GDP price index is 114.6. There are 25 million workers who work 36 hours per​ week, and the real wage averages $16 per hour. What is labor productivity for this​ country?

Answer 1

Answer:

1,333.33

Explanation:

Labor productivity is measures the hourly output of a country's economy. Specifically, it charts the amount of real gross domestic product (GDP) produced by an hour of labor.

total labor hours = 25milion x 36 hours per week

                            = 900 million

labor productivity = GDP ÷ total labor hours

labor productivity = $1,200 billion ÷ 900 million

                                $1,333.33 per hour