If the hourly wage of German workers is $6, the hourly wage of Canadian workers is $10, and German workers produce half as much output per hour as Canadian workers, all else equal, it would be efficient to locate production facilities in:"

Question

Skyler Morse

Business

6 May, 15:09

If the hourly wage of German workers is $6, the hourly wage of Canadian workers is $10, and German workers produce half as much output per hour as Canadian workers, all else equal, it would be efficient to locate production facilities in:"

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Holly Larson · Answer 1

Answer: Canada since the cost per unit of output will be lower.

Explanation: it was given that the hourly wage of German workers is $6, the hourly wage of Canadian workers is $10, and German workers produce half as much output per hour as Canadian workers, all else equal, However, it would be efficient to locate production facilities in canada since the cost per unit of output will be lower, which is advantageous.