Which of the following does not contribute to labor productivity growth?
A)A steepening of the per-worker production function
B)An increase in the amount of capital per unit of labor
C)A growth in the labor force
D)An improvement in the quality of capital
E)A decrease in the labor-capital ratio

Question

Quizplus · Accepted Answer

While a growth in the labor force may increase overall output, it does not directly contribute to labor productivity growth. Labor productivity growth is defined as the increase in output per unit of labor input, so it is dependent on factors that increase output relative to the amount of labor used, such as improvements in technology or increases in capital per unit of labor.

Which of the Following Does Not Contribute to Labor Productivity