Explore BrainMass
Share

Marginal Rate of Product Transformation and Productivity

This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

Suppose that Japanese and U.S automakers produce on identical isoquats and that wages are higher in Japan than in the United States. Do autoworkers in Japan have a higher marginal product than American autoworkers?

© BrainMass Inc. brainmass.com March 21, 2019, 5:55 pm ad1c9bdddf
https://brainmass.com/economics/applied-economics/marginal-rate-of-product-transformation-and-productivity-237883

Solution Preview

If they produce on identical isoquants, that means that they need the same combinations of capital and labour to produce a given amount of ...

Solution Summary

A short description on productivity and resource allocation using the example of automakers in Japan and the US.

$2.19