The USeconomy Has Seen a Faster Increase in Productivity Since the the Mid-1990s

question 34

Multiple Choice

The U.S.economy has seen a faster increase in productivity since the mid-1990s as compared to the economies of many Western European countries.Which of the following explains this?

• A)U.S.unions impose stricter work rules as compared to unions in Western European countries.
• B)U.S.government regulations impose stricter work rules as compared to government regulations in Western Europe.
• C)The United States has a higher rate of job mobility than do many Western European countries.
• D)U.S.workers can obtain unemployment insurance for a longer period of time as compared to workers in most Western European countries.

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Definitions:

Stockholders' Equity

The remaining value of a company's assets after all debts have been subtracted, symbolizing the equity stake of its shareholders.

Treasury Stock

Shares that were issued and subsequently reacquired by the company itself, reducing the amount of outstanding stock on the open market.

Common Stock

An ownership stake in a corporation, represented through a security known as corporate equity ownership.

Retained Earnings

Profits that a company keeps at the end of a fiscal period, after dividends are paid, for reinvestment or debt payment.