Which of the following is likely to cause a decrease in labor productivity?
A)An increase in student achievement scores
B)A service sector that is growing slower than the growth rate of GDP
C)An increased spending on research and development
D)A decrease in capital formation
E)A low federal budget deficit

Question

Quizplus · Accepted Answer

A decrease in capital formation, such as reduced investment in equipment and technology, would likely lead to a decrease in labor productivity.

Which of the Following Is Likely to Cause a Decrease