France and the US. France and the US are among the most successful economies in the world,
Question:
France and the US. France and the US are among the most successful economies in the world, but a closer look suggests some differences. In France, output per capita is substantially lower, but since a smaller fraction of the population works and each worker works fewer hours, output per hour is actually very similar to the US value. GDP and capital are reported in thousands of 2017 US dollars, employment and population in millions. Education is a human capital index based on the average years of schooling. Hours is the average number of hours per year worked by an employed person. Total hours worked can be computed as the product of employment (the number of people working) and hours (the number of hours per worker).
Consider the data for 2019:
(a) Compute output per capita, output per worker, and output per hour worked.
(b) What are the primary sources of the difference in output per capita? Suggestion: Use total hours worked as your measure of the quantity of labor L.
(c) Why do you think hours per worker and the ratio of employment to population are lower in France than in the US? Where would you rather work? Live? Eat?
Expert Answer:
Answer A I Output per capita Output per capita gross domestic producttotal population Output p... View the full answer
