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Please find table below that provides data on output per worker, physical and human capital per worker, all relative to the US, and help me
Please find table below that provides data on output per worker, physical and human capital per worker, all relative to the US, and help me with the following:
- For each of three countries listed, calculate factor accumulation and productivity relative to US.
- In which country does factor accumulation plays the largest role in explaining income relative to US?In which country does the productivity play the largest role?
- Clearly state assumptions you have made as well as explaining the formulation(s) you have applied in carrying out your calculations.
Country Output per Worker Physical Capital per Worker Human Capital per Worker
Sweden 0.76 0.80 0.93
Mauritius 0.55 0.32 0.70
Jordan 0.18 0.13 0.86
Note US 1.00 1.00 1.00
Cobb-Douglas Production function = Y= AK h 1- output per worker = productivity (A) * Factors of production
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