Suppose total output (real GDP) is $4000 and labour productivity is 8.We can conclude that:
A)real GDP per capita must be $500.
B)the price-level index must be greater than 100.
C)nominal GDP must be $500.
D)the number of worker-hours must be 500.

Question

Quizplus · Accepted Answer

Labour productivity is calculated as total output divided by the number of worker-hours. Given labour productivity is 8 and total output is $4000, the number of worker-hours must be 500 (4000/8).

Suppose Total Output (Real GDP) Is $4000 and Labour Productivity