Suppose Productivity Increases by 5% in Industry X and 2

question 18

Multiple Choice

Suppose productivity increases by 5% in industry X and 2% in industry Y.Further suppose the demand for X has fallen while the demand for Y has increased.If economy-wide productivity and the average wage each rise by 3%,we should expect that:

• A)output and employment in X will increase relative to Y
• B)output and employment in X and Y will not change relative to one another,since wages will increase by 5% in X and 2% in Y
• C)output and employment in Y will increase relative to X
• D)no statement can be made concerning output and employment in either industry without more information

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Definitions:

African Ancestry

refers to the lineage or heritage of an individual or community tracing back to the African continent.

Cultural Explanations

Interpretations or understandings of phenomena, behaviors, or conditions through the lens of cultural practices, beliefs, and norms.

Gender Differences

Variations in characteristics, behavior, and treatment based on an individual's sex, often studied in psychology and sociology.

Intellectual Abilities

The cognitive capacities of an individual, including the abilities to reason, plan, solve problems, think abstractly, comprehend ideas and language, and learn.