The decline in the growth of capital intensity in the United States has been caused largely by a rapid increase in labor inputs in addition to slow growth in capital inputs.

Question

Quizplus · Accepted Answer

The statement is true. The decline in capital intensity growth in the United States has been due to a combination of factors, including increased labor inputs and slow growth in capital inputs. This has led to a decrease in the ratio of capital to labor in production processes.

The Decline in the Growth of Capital Intensity in the United