Income in Services Is More Bifurcated Than That in Manufacturing

question 65

Multiple Choice

Income in services is more bifurcated than that in manufacturing.What does this sentence mean?

• A) Incomes in services tend to be more seasonal.
• B) Firms that produce services are more productive and therefore more wealthy than manufacturers.
• C) Professional service providers generate high incomes while non-skilled and low-skilled service providers make low wages.
• D) The income that firms produce from services is taxed at a higher rate than that produced from manufacturing.
• E) The income that firms make from delivering services is distributed more evenly among employees than occurs in manufacturing firms.

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Definitions:

Fuel

A substance consumed to produce energy through a chemical or nuclear reaction, commonly referring to materials used to power engines, such as gasoline or diesel.

Four-Cylinder Engine

An internal combustion engine with four cylinders arranged in a straight line, commonly found in small to medium-sized vehicles.

Power

The rate at which work is done or energy is transferred in a unit of time.

Degrees

A unit of measurement for angles, or a measure of temperature.