If Real GDP Is $800 Million and Aggregate Labour Hours

question 31

Multiple Choice

If real GDP is $800 million and aggregate labour hours are 20 million, labour productivity is

• A)$16 an hour.
• B)$40 million.
• C)$40 an hour.
• D)$160 an hour.
• E)$16,000 million.

---

Definitions:

Budget Line

An illustration showing all the combinations of two items that can be bought given certain prices and a specified budget.

Price

The amount of money expected, required, or given in payment for something; it acts as a signal for scarcity or abundance of a product.

Budget Line

A depiction showcasing all feasible combinations of two articles that can be purchased, provided there's a fixed budget and the prices remain the same.

Money Income

Money income is the total income received by a household or individual in the form of currency or in transactions, excluding non-monetary benefits.