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For decades, economists believed that increased productivity would naturally lead to higher wages. However, recent studies indicate that while productivity has surged, wage growth has stagnated, suggesting that other structural factors — such as labor market policies, globalization, and technological automation — may be influencing income distribution.
Sub-Questions:
The passage emphasizes that higher productivity no longer ensures wage increases because of other structural factors — exactly what option C states.
A random variable $Y$ follows a normal distribution with mean $200$ and standard deviation $10$. Compare:
Quantity A: The probability that $Y > 220$
Quantity B: $\dfrac{1}{6}$
The value $220$ is $\dfrac{220 - 200}{10} = 2$ standard deviations above the mean.
For a standard normal distribution, the probability that $Z > 2$ is approximately $0.0228$ (about $2.28\%$).
Quantity B $= \dfrac{1}{6} \approx 0.1667$.
Since $0.0228 < 0.1667$, Quantity A is less than Quantity B.
Therefore Quantity B is greater.
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