The U.S.economy has seen a faster increase in productivity since the mid-1990s as compared to the economies of Canada and many Western European countries.Which of the following explains this?
A)U)S.unions impose stricter work rules as compared to unions in Canada and many Western European countries.
B)U)S.government regulations impose stricter work rules as compared to government regulations in Canada and Western Europe.
C)The United States has a higher rate of job mobility than do Canada and many Western European countries.
D)U)S.workers can obtain unemployment insurance for a longer period of time as compared to workers in Canada and most Western European countries.
E)Western European countries have more regulations concerning technological improvement.

Question

Quizplus · Accepted Answer

The higher rate of job mobility in the United States means that workers are more likely to switch to higher-paying or more productive jobs, which leads to overall increases in productivity. Factors A, B, D, and E are not related to the differences in productivity growth between the U.S. and Canada/Western Europe.

The USeconomy Has Seen a Faster Increase in Productivity Since the the Mid-1990s