Question

If the average income of an Australian is higher than the average income of a Russian, it is most likely because a there is more competition in Australia than in Russia. b labor unions are more powerful in Australia than in Russia. c productivity is higher in Australia than in Russia. d Australia has a more industrial economy than Russia.

Answer 1

The average income in Australia is likely higher than in Russia due to greater productivity, economic growth from tourism, and immigration inflows, despite a smaller manufacturing sector for exports.

Step-by-step explanation:

The question posits that the average income of an Australian is higher than that of a Russian and asks for the most likely reason. The correct answer is likely c productivity is higher in Australia than in Russia. Productivity is often a key indicator of an economy's wealth and standard of living. Australia benefits from exporting a significant amount of raw materials and has a relatively small population to distribute this wealth, which can increase the average income. Additionally, the country has seen economic growth from a flourishing tourism industry and immigration inflows, both of which also contribute to productivity and wealth distribution.

Answer 2

Answer: Option(c) is correct.

Step-by-step explanation:

Productivity refers to the value that is devoted by the employee or a workers in the production of the goods and services. There is a direct relationship between the wages or income of a worker and productivity of a worker. This means that if there is an increase in the productivity of an employee, then as a result wage rate or income level of that employee also increases. Higher productivity increases the output of the firm, as a result revenue of the firm increases, then this will lead to increase in the income level of the employees.

Therefore, the productivity is higher in Australia than in Russia.

Hence, the average income of an Australian is higher than the average income of a Russian.