Asked by James Bertakis on May 08, 2024

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Why do developing nations often have low labor productivity? Are the workers just lazy?

Labor Productivity

A measure of the economic output generated per unit of labor input, such as per hour worked.

Developing Nations

Countries with a lower standard of living, underdeveloped industrial base, and low Human Development Index relative to other countries.

  • Analyze factors contributing to low labor productivity in developing countries.
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TD
Thien Di HoangMay 10, 2024
Final Answer :
No, the workers are not just lazy. The low labor productivity is because the workers are poorly equipped with machinery and tools and therefore are relatively unproductive. In addition, their rapid population growth reduces the amount of physical capital available per worker. There is an absence of entrepreneurs and some of the most highly motivated workers have left the country to better their circumstances in the industrially advanced countries.