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The following table shows real GDP per hour of work in four imaginary countries in the years 2008 and 2018. Calculate productivity growth for each
The following table shows real GDP per hour of work in four imaginary countries in the years 2008 and 2018. Calculate productivity growth for each country.
Is it true that productivity growth was highest where the initiallevel of productivity was the lowest? For which countries?
Output per Hour | |||
2008 | 2018 | % Growth Productivity | |
Country A | $40 | $46 | |
Country B | 2 | 3 | |
Country C | 0.50 | 0.60 |
Which country supports convergence theory? Why?
Which country is counter to convergence theory? Why?
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