Labor productivity A. determines the real standard of living for a country. B. equals the average product of labor. C. growth depends on growth in the stock of capital. D. All of the above are true.

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13 July, 16:12

Labor productivity A. determines the real standard of living for a country. B. equals the average product of labor. C. growth depends on growth in the stock of capital. D. All of the above are true.

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Red Velvet · Answer 1

D

Explanation:

Labor productivity is the rate of output contribution of an employee to the economy, which is affected by the level of investment in physical capital, new technology and human capital.

In furtherance to the definition, it impacts the standard of living, higher productivity leads to better standard, and also on the growth of stock of capital as capital appreciation aids labor productivity.