Which of the Following Statements About Productivity in the Service

question 301

Multiple Choice

Which of the following statements about productivity in the service sector of the U.S. economy is most accurate?

• A) Productivity in the service sector has increased much more rapidly than productivity in the manufacturing sector.
• B) Improving productivity in the service sector is much less important than improving productivity in the manufacturing sector, because the service sector does not really produce anything.
• C) Productivity in the service sector is easier to measure than productivity in agriculture.
• D) Measures of productivity in the service sector do a poor job of taking quality improvements into account.

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Definitions:

Consumer Price Index

A measure that examines the weighted average of prices of a basket of consumer goods and services.

Typical Consumer

A typical consumer represents an average or standard unit of analysis in economic models, used to predict behavior patterns in the marketplace.

Bureau of Labor Statistics

The U.S. government's entity charged with the acquisition and study of statistics regarding employment market dynamics, workplace environments, and price alterations.

Consumer Price Index

A measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care, used to estimate the cost of living.