Which one of the following is FALSE? a. Increases in the capital stock can improve the productivity of labor. b. Increases in the size of the labor force improve labor productivity. c. Increases in labor productivity can enhance economic growth. d. Labor productivity contributes to economic growth.

Which one of the following is FALSE?

a. Increases in the capital stock can improve the productivity of labor.

b. Increases in the size of the labor force improve labor productivity.

c. Increases in labor productivity can enhance economic growth.

d. Labor productivity contributes to economic growth.

 

answer:

The one statement which is false, is

b. Increases in the size of the labor force improve labor productivity.

This is because, when labor force increases, labor productivity decreases.

Labor productivity = Total Output / Number of labor.

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