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klasskru [66]
3 years ago
13

Amos kribbytheking :)

SAT
1 answer:
Aleonysh [2.5K]3 years ago
5 0
Answer:

Uh sure maybe ?
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suppose labor productivity in the united states was $100,000 per worker in 2015. calculate the value of labor productivity in 20
sukhopar [10]

a. U.S labor productivity in 2035 would be $206,800 per worker.

b.  U.S labor productivity in 2035 would be $68,100 per worker.

c. Labor productivity per worker in 2035 with the higher growth rate is 3.04

a. Calculation to determine  what the U.S labor productivity in 2035 would be $ per worker assuming productivity grows by 3.7 percent per year

Given:

Labor Productivity in 2015 = $100,000

Growth rate = 3.7%pa or  0.037

Using this formula

Future value = Present value*(1+Growth rate)^Number of years

Let plug in the formula

2035 labor productivity per worker=100,000(1 + 0.037)^20

2035 labor productivity per worker= $206,811.71

2035 labor productivity per worker= $206,800

( rounded to nearest $100)

b.Calculation to determine  what the U.S labor productivity in 2035 would be $ per worker assuming productivity falls to 1.9 percent per year

Given:

Labor Productivity in 2015 = $100,000

Growth rate = -1.9%pa or -0.019

Using this formula

Future value = Present value*(1+Growth rate)^Number of years

Let plug in the formula

2035 labor productivity per worker= 100,000(1-0.019)^20

2035 labor productivity per worker= $68,136.55

2035 labor productivity per worker= $ 68,100

( rounded to nearest $100)

c. Calculation to determine How much larger would labor productivity per worker be in 2035 with the higher growth rate

2035 labor productivity per worker=($206,811.711/$68,136.55121)

2035 labor productivity per worker= 3.04 times

Inconclusion:

a. U.S labor productivity in 2035 would be $206,800 per worker.

b.  U.S labor productivity in 2035 would be $68,100 per worker.

c. Labor productivity per worker in 2035 with the higher growth rate is 3.04

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