Changes in Productivity Can Be Analyzed by Looking at How

question 17

Multiple Choice

Changes in productivity can be analyzed by looking at how GDP per employed worker changes over time or how GDP per hour worked changes over time.Why might one measure be more preferable than the other?

• A)GDP per hour worked is preferable because it eliminates the need to adjust for variations in productivity between employed workers.
• B)GDP per employed worker is more accurate because the data available on the number of employed workers is more accurate than the data available on the number of hours worked.
• C)GDP per hour worked is more accurate because the average number of hours worked per employed worker has changed over time.
• D)GDP per employed worker is preferable because the number of employed workers has risen significantly over time.
• E)Both measures are equally good.

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Definitions:

Society

A complex system of individuals and groups interacting under a shared environment, governed by culture and institutions.

Individual

Pertains to a single person distinguished from a group or society, focusing on unique characteristics and agency.

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Having the capability or tendency to correct oneself without external intervention.

Skill Development

The mastery of abilities essential to successful functioning in organizations.