Given the fact that the productivity slowdown of the mid-1970s to the 2014 affected all industrial countries, which of the following explanations for the productivity slowdown in Canada is not likely to be correct?
A)A deterioration of the Canadian education system caused a decline in the quality of labour.
B)High oil prices increased costs.
C)Services became a larger fraction of GDP.
D)Firms had to meet stricter environmental regulations.

Question

Quizplus · Accepted Answer

The productivity slowdown was a global phenomenon, affecting all industrial countries, not just Canada. Therefore, an explanation specific to the Canadian education system, such as a deterioration causing a decline in the quality of labor, is less likely to be correct compared to factors that could have impacted multiple countries, such as high oil prices, the shift towards a service-based economy, and stricter environmental regulations.

Given the Fact That the Productivity Slowdown of the Mid-1970s