Suppose total output (real GDP) is $10,000 and worker-hours are 20,000.We can conclude that:
A)real GDP per capita must be $200,000.
B)the price-level index must be less than 100.
C)labour productivity must be 0.5.
D)nominal GDP must be between $10,000 and $20,000.

Question

Quizplus · Accepted Answer

Labor productivity is calculated by dividing total output by worker-hours, so in this case, labor productivity is $10,000/20,000 = 0.5. None of the other choices can be determined from the given information.

Suppose Total Output (Real GDP) Is $10,000 and Worker-Hours Are