Asked by Tanushri Sarkar on Jun 04, 2024
Verified
If a country has a higher level of productivity than another, then it also has a higher level of real GDP.
Productivity
The efficiency of production of goods or services expressed as the ratio of output to inputs used.
Real GDP
Gross Domestic Product adjusted for inflation, measuring the value of all final goods and services produced within a country's borders in a given time period with constant prices.
- Identify factors contributing to variations in productivity and real GDP per person across countries.
- Understand the link between real GDP per person, quality of life, and the progress of the economy.
Verified Answer
IG
Iyana GregoryJun 05, 2024
Final Answer :
False
Explanation :
Higher productivity means a country can produce more output per unit of input, but it doesn't necessarily translate to a higher level of real GDP. Real GDP is influenced by other factors as well, such as the total amount of labor and capital in the economy. A country with lower productivity could still have a higher real GDP if it has significantly more resources or labor.
Learning Objectives
- Identify factors contributing to variations in productivity and real GDP per person across countries.
- Understand the link between real GDP per person, quality of life, and the progress of the economy.