Productivity in service-related businesses has not grown as rapidly as in manufacturing businesses because service businesses are
A) More capital intensive
B) More labor intensive
C) Less labor intensive
D) More expensive to operate

Question

Quizplus · Accepted Answer

Service businesses are more labor intensive, which often leads to slower productivity growth compared to the more capital-intensive manufacturing businesses.

Productivity in Service-Related Businesses Has Not Grown as Rapidly as in Manufacturing