Factors that influence standard of living Which of the following factors played the biggest role in the slow growth of average incomes in the United States during the 1970s and 1980s? OSlow growth in productivity O Increased competition from India OIncreased competition from japan ODisinfation of the dollar

Question

Marianna Gill

Business

1 December, 12:46

Factors that influence standard of living Which of the following factors played the biggest role in the slow growth of average incomes in the United States during the 1970s and 1980s? OSlow growth in productivity O Increased competition from India OIncreased competition from japan ODisinfation of the dollar

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Answers (1)

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Drew Mcdowell · Answer 1

Slow growth in productivity

Explanation:

During the 1970s and early 1980s, the American economy suffered from high inflation and a decrease in productivity, mainly caused by a reduction of oil supply especially from Arab nations and an increase in its price.

Many industries that used oil as a major resource (e. g. automobile manufacturers, distribution companies, etc.) suffered greatly and their productivity lowered.

Since oil is a major resource, the negative effects of a supply reduction grew like a snowball and eventually affected the whole economy.