Output Per Labor Hour Is Used to Measure

question 26

Multiple Choice

Output per labor hour is used to measure:

• A) Production possibilities.
• B) Nominal GDP.
• C) Employment rate.
• D) Productivity.

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Definitions:

Labor Supply Curve

Depicts the relationship between the wage rate and the quantity of labor workers are willing to supply; generally upward sloping, indicating more labor supplied as wages increase.

Higher Wages

Higher wages refer to an increase in the wage rate, leading to greater compensation for workers.

Real Wages

wages that have been adjusted for inflation, representing the actual purchasing power of income.

Contract

A legally binding agreement between two or more parties that is enforceable by law.