If a Country Has a Low Capital-To-Labor Ratio, Then It

question 117

Multiple Choice

If a country has a low capital-to-labor ratio, then it tends to have _____ labor productivity _____ wages.

• A) low; but high
• B) high; but low
• C) low; and low
• D) high; and high

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Definitions:

Standard Costs

Predetermined or estimated costs of manufacturing, selling, and administrative activities, used for budgeting and assessing performance.

Rate Variance

The difference between an expected or standard cost and the actual cost incurred, often used in budgeting and financial analysis to gauge performance.

Standard Wage Rate

The predetermined rate of pay for a specific job or task over a set time period.

Wage Rate

The amount of compensation paid to an employee per unit of time (e.g., hour, day, week) for their labor.