Question

The term efficiency units of labor is the​ ____________. A. slope of the production function at the​ steady-state equilibrium point. B. product of the number of workers and the level of human capital. C. number of workers that can be used in a production process before diminishing marginal product of labor sets in. D. number of workers that can efficiently work in a production​ process, given current levels of technology and physical capital.

Answer 1

Answer:

The correct answer is b) Product of the number of workers and the level of human capital

Explanation:

The efficiency unit of labor is determinate as a product of the total number of workers in the economy, where the human capital is the best indicator of productivity