In both Gamma and Delta average labor productivity is $40,000 per worker per year. The population of Gamma is 200,000 and the population of Delta is 400,000. Fifty percent of the population in each country is employed. Total output in Gamma is and total output in Delta is .

Gamma = $4,00,000,000

Delta = $8,000,000,000

Explanation:

Average labor productivity for each country = $40,000 per worker per year.

Population of Gamma = 200,000

Population of Delta = 400,000.

Percentage employed = 50%

Number of employees in Gamma = % employed × population

= 50% × 200,000

= 0.5 × 200,000

= 100,000 employees

Number of employees in Delta = %employed × population

= 50% × 400,000

= 0.5 × 400,000

= 200,000 employees

Total output will be calculated as:

= Average labor productivity x Number of employees

Total output in Gamma = $40,000 x 100,000 = $4,00,000,000

Total output in Delta = $40,000 x 200,000 = $8,000,000,000