Consider the economies of Sporon and Tralfamadore, both of which produce gaggles of gop using only tools and workers. Suppose that, during the course of 50 years, the level of physical capital per worker rises by 4 tools per worker in each economy, but the size of each labor force remains the same. Complete the following tables by entering productivity (in terms of output per worker) for each economy in 2019 and 2069. Sporon
Year Physical Capital Labor Force Output Productivity
(Tools per worker) (Workers) (Glops of gloop) (Glops per worker)
2016 11 30 1,800
2046 16 30 2,160

Tralfamadore
Year Physical Capital Labor Force Output Productivity
(Tools per worker) (Workers) (Glops of gloop) (Glops per worker)
2016 8 30 900
2046 13 30 1,620

Initially, the number of tools per worker was higher in Sporon than in Tralfamadore. From 2016 to 2046, capital per worker rises by 5 units in each country. The 5-unit change in capital per worker causes productivity in Sporon to rise by a amount than productivity in Tralfamadore. This illustrates the concept of (increasing returns, constant returns, inward- oriented growth, the brain dain, diminishing returns), which makes it (more difficult, easier) for countries with low output to catch up to those with higher output.