If Country A produces 6,000 units of goods and services using 600 hours of labor,and if Country B produces 5,000 units of goods and services using 450 units of labor,then productivity is higher in Country B than in Country A.

Question

Quizplus · Accepted Answer

Productivity is calculated as the ratio of output (units of goods and services produced) to input (hours of labor used). 
Country A: Productivity = 6,000 units / 600 hours = 10 units per hour
Country B: Productivity = 5,000 units / 450 hours = 11.11 units per hour
Since Country B has a higher productivity rate, the statement is true.

If Country a Produces 6,000 Units of Goods and Services