A UK parcel depot is choosing between a UK-made sorting machine and an imported sorting machine. The machines are tested for one hour.
| Sorting machine | Parcels sorted | Workers used |
|---|---|---|
| UK-made | 1,200 | 12 |
| Imported | 1,200 | 8 |
Why may the depot choose the imported sorting machine to increase labour productivity?
Equal total output means labour productivity must be equal for both machines
Spreading the machine's cost over the parcels directly raises output per worker
Using fewer workers means each worker must sort fewer parcels with the imported machine
The same output is sorted with fewer workers when the imported machine is used
85 exam-style questions on OCR GCSE Economics 4.1 Importance of international trade, covering 4.1.1 Why countries import and export and 4.1.2 Free trade agreements. Each one has a worked solution and a mark scheme showing where the marks go.