Final answer:
After five years, Canadian workers will maintain a higher productivity level than UK workers by $2.55 per hour, with Canada at $31.53 and the UK at $28.98 per hour after accounting for respective annual growth rates.
Step-by-step explanation:
Assuming the question pertains to the productivity level of workers in Canada and the United Kingdom, we can calculate the productivity levels after five years with compound growth. The productivity level of a Canadian worker starting at $30 per hour and growing at 1% per year for five years will be:
$30 × (1 + 0.01)^5 = $30 × 1.0510 = $31.53 (to two decimal places)
Similarly, the productivity level of a UK worker starting at $25 per hour and growing at 3% per year for five years will be:
$25 × (1 + 0.03)^5 = $25 × 1.1593 = $28.98 (to two decimal places)
After five years, the productivity level in Canada would still be higher than in the UK, and the difference in productivity would be $31.53 - $28.98 = $2.55.