Question

Change in labor productivity is one of the most watched international statistics of growth. Compare two countries in the recent past and state reasons for differences in labor productivity.

a) USA and China
b) Japan and Germany
c) Brazil and India
d) Australia and Canada

Answer 1

Labor productivity can be different between countries due to various factors like technology, infrastructure, education, and government policies.

Step-by-step explanation:

Labor productivity is a key measure of economic growth and can be compared using statistics such as GDP per capita. When comparing two countries, differences in labor productivity can be attributed to various factors including technology, infrastructure, education and training, and government policies.

For example, USA and China have different labor productivity levels due to factors such as technological advancements and access to capital and resources. The US has a highly developed technology sector and invests heavily in research and development, which contributes to its high labor productivity. On the other hand, China has a large population and a growing manufacturing sector, which may contribute to lower labor productivity.

Similarly, Japan and Germany have different labor productivity levels. Japan is known for its high-tech industries and innovative manufacturing processes, which contribute to its high labor productivity. Germany, on the other hand, has a strong emphasis on precision engineering and manufacturing, which also contributes to its high labor productivity.