Article Summary
According to the Office for National Statistics in the United Kingdom,productivity in the UK in 2014 was well below the average of the G7 countries,only faring better than Japan.The G7 is a group of the seven most industrialized countries,and includes Canada,France,Germany,Italy,Japan,the United Kingdom,and the United States.Compared to the G7 average,the UK was 20% less productive per hour worked,and output was also 20% worse when measured on a per worker basis.The productivity gap was the largest for the UK since estimates began in 1991.Worker productivity was lower in all of the G7 nations in 2014 than it would have been had trends prior to the 2007-2009 recession continued,with the productivity gap of 18 percent in the UK significantly higher than the 7% gap for the other G7 nations.In terms of output per hour worked,the UK was behind Germany,France,and the United States by 32 to 33 percentage points.
-Refer to the Article Summary.Labor productivity in the UK was well below the productivity in five of the other G7 nations,only faring better than Japan..Labor productivity is important for an economy because an increase in labor productivity
A) will increase the labor force participation rate.
B) allows the average consumer to increase consumption.
C) will create short-run,but not long-run,economic growth.
D) will increase output and decrease wages in the long run.
Correct Answer:
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Q27: Potential GDP refers to
A)the level of GDP
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Q34: Which of the following would contribute to
Q36: If labor productivity growth slows down in
Q38: Which of the following is an example
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Q40: Actual real GDP will be above potential
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