Author Question: Real GDP is 700 billion, average hours worked per week is 42 and aggregate hours is 150 billion ... (Read 151 times)

crobinson2013 · **on:** Jun 30, 2018

Real GDP is 700 billion, average hours worked per week is 42 and aggregate hours is 150 billion hours. What is the economy's labor productivity?

A) 3.75 per hour
B) 1.80 per hour
C) 4.67 per hour
D) 16.67 per hour
E) 4.50 per hour

Question 2

What is the difference between a production possibilities curve and a consumption possibilities curve?

What will be an ideal response?

ErinKing · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

C

Answer to Question 2

A production possibilities curve shows the possible combinations of two products that can be produced in an economy. A consumption possibilities curve shows the possible combinations of two products that can be consumed when a nation specializes and trades with another nation.