Which of the following statements about labour productivity (Y/L), also known as the average product of labour are correct? Select one or more: a. With a standard production function, if L falls, without any change in technology or capital, labour productivity must rise b. A rise in labour productivity at the same time as a rise in employment is logically impossible c. A rise in labour productivity must imply job losses d. If Y is fixed a rise in labour productivity must imply job losses
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Which of the following statements about labour productivity (Y/L), also known as the average product of labour are correct?
Select one or more:
With a standard production function, if L falls, without any change in technology or capital, labour productivity must rise
A rise in labour productivity at the same time as a rise in employment is logically impossible
A rise in labour productivity must imply job losses
If Y is fixed a rise in labour productivity must imply job losses
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- True or False A production function in "economics" summarizes the technological relationship between inputs and outputs.is it true labor productivity is the activity measures output per labor hour per employee?In the Cobb-Douglas production function, Y = K°L!-a, if a = 1/4, then O labor's share of GDP is half. O capital's share of GDP is one-fourth. capital's share of GDP is three-fourths. capital's share of GDP is four.
- Consider an economy with a Cobb-Douglas production function. Assume that the labour income share parameter is 1/3. The economy is producing 100 units of output and the productivity parameter is equal to 1. f the depreciation rate for capital is 6%, investment rate is 6%, and there are 125 workers in the economy. The growth rate in the economy: Select one: a. is positive because the economy is below its steady state. b. is equal to zero because the economy is at its steady state. C. is negative because the economy is above its steady state. d. cannot be determined.Suppose we measure labor productivity by the amount of output (horizontal axis) per unit pf physical capital per worker (vertical axis) when everything else is constant. A more effective training program is provided to all workers. With all else equal, what change can we expect on the labor productivity plot? a. An upward movement along the labor productivity curve. b. A downward movement along the labor productivity curve. c. An upward shift of the labor productivity curve. d. A downward shift of the labor productivity curve. e. The labor productivity curve will remain unchanged.Economics, physical capital represents the uildings or machines used by a business to produce product. The marginal product of physical capital presents the rate of change of output product with spect to physical capital (informally, if you increase e size of your factory a little, how much more Foduct can you create?). articular model tells us that the output product Y is given, a function of capital K, by Y = AKªL'-a ere A is a constant, L is units of labor (assumed to be stant), and a is a constant between 0 and 1. Determine marginal product of physical capital predicted by this del. ned with CamScanner
- Suppose a country has a population of 120 people, a working-age population of 100 people, its labor force participation rate is 0.5 (50%), and the quantity of output is 60 units. Suppose that the production function of the economy is given by Y=2N, where Y represents the quantity of output and N represents the number of workers needed to produce the output. I know the answer is 0.4 but I don't understand how to get it. Thank you!The concept of diminishing returns to a factor of production applies not only to capital but to labor as well. Prior to the Industrial Revolution, there was no sustained growth in living standards. Draw a graph to illustrate the relationship between population and output produced, where population is measured on the horizontal axis, both pre- and post-Industrial Revolution. 1.) Using the 3-point curve drawing tool, draw the production curve showing diminishing returns to labor. Label your curve 'Pre.' 2.) Using the 3-point curve drawing tool, draw the production curve after the Industrial Revolution. Label your curve 'Post. Carefully follow the instructions above and only draw the required objects. aGive typing answer with explanation and conclusion Production function Y=8*K^.33*L^.66 Now what if there is skill biased technological change that makes capital more productive relative to labor such that alpha or the exponent on K rises to .5 and the exponent on L falls to .5 By what % does real wage change? By what % does R/P change?
- Write the production function in its simplest form (human capital being included in TFP) and explain the nature of each factor as well the theoretical value of the parameter Alpha. In other words what does the value of Alpha represent regarding the returns of each factors of production?Labour-saving technical progress meansa) that marginal productivity of capital increases.b) that marginal productivity of labour increases.c) that marginal productivity of both inputs increases.d) None of the above is correct.The aggregate production function is y=3KL. If they are 30 units of capital and 40 units of labor, what is aggregate output? What is labor productivity? What is capital productivity?