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Multifactor productivity = Sales/(labor capital) Multifactor productivity for U.S = 100,000/(20,000 60,000) Multifactor productivity for U.S = 1.25 Explanation: Multifactor productivity for LDC = 20,000/(15,000

Multifactor productivity = Sales/(labor capital) Multifactor productivity for U.S = 100,000/(20,000 60,000) Multifactor productivity for U.S = 1.25 Explanation: Multifactor productivity for LDC = 20,000/(15,000 5000) Multifactor productivity for LDC = 1.00

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