Suppose that the average income of a Kenyan is higher than the average income of a South African.What might you conclude
A)South African firms are faced with stricter government regulations than Kenyan firms.
B)Total income is divided among fewer workers in Kenya since it has a smaller labour force than South Africa.
C)Kenya's climate allows for longer growing seasons and therefore Kenya can produce large quantities of grain.
D)Productivity in Kenya is higher than in South Africa.

Question

Quizplus · Accepted Answer

The higher average income in Kenya could be attributed to higher productivity in the country compared to South Africa. This means that workers in Kenya may be producing more goods and services per unit of time, leading to higher incomes. The other options mentioned do not necessarily correlate with differences in average income between the two countries.

Suppose That the Average Income of a Kenyan Is Higher