Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A consumer product company sets up two manufacturing sites, one in country A and the other in country B. Country A is a newly industrialised

A consumer product company sets up two manufacturing sites, one in country A and the other in country B. Country A is a newly industrialised country, while country B is a developing country. The company collects the following data to evaluate the productivity at each site. Country A Country B Sales (units) 200,000 40,000 Labour (hours) 30,000 20,000 Raw Materials ($) $150,000 $20,000 Equipment (hours) 80,000 5,000 Data can be interpreted as follows: take country A as an example, country A uses 30,000 labour hours, 80,00 equipment hours, and $150,000 worth of raw materials to produce 200,000 units of product. (a) Measure the single-factor labour productivity and single-factor equipment productivity for the two countries. For each type of productivity, compare the results of the two countries, what conclusion can you draw? Is there any unexpected conclusion

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

What Environmentalists Need To Know About Economics

Authors: Jason Scorse

1st Edition

0230107311, 9780230107311

More Books

Students also viewed these Economics questions

Question

What percentage of your students publishes before they graduate?

Answered: 1 week ago

Question

6. How can a message directly influence the interpreter?

Answered: 1 week ago