In both Gamma and Delta,average labour productivity is $20,000 per worker per year.The population of Gamma is 200,000 and the population of Delta is 400,000.60% of the population in each country is employed.Total output in Gamma is _________ and total output in Delta is _________.

Question

Quizplus · Accepted Answer

To find the total output, we need to multiply the average labor productivity by the number of workers, which is the proportion of the population that is employed.

In Gamma, the number of workers is 60% of the population, or 0.6 x 200,000 = 120,000 workers. Total output is therefore:

Output = average labor productivity x number of workers
Output = $20,000 x 120,000
Output = $2.4 billion

In Delta, the number of workers is also 60% of the population, or 0.6 x 400,000 = 240,000 workers. Total output is therefore:

Output = average labor productivity x number of workers
Output = $20,000 x 240,000
Output = $4.8 billion

Therefore, the answer is C.

In Both Gamma and Delta,average Labour Productivity Is $20,000 Per