BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -The economy has to decide about technique of production on the basis of cost of labour and capital. A labour surplus economy choose labour intensive techniques and a capital surplus economy choose capital-intensive technique.

Detailed explanation-2: -Labor intensive refers to a process or industry that requires a large amount of labor to produce its goods or services. Labor costs encompass all of the costs necessary to secure the human capital necessary to complete work.

Detailed explanation-3: -Labour intensive is when products are mainly produced by human workers. Machines and special tools may be used too, but overall it requires human creativity and effort to produce the product.

Detailed explanation-4: -Industry or process where a larger portion of total costs is due to labor as compared with the portion for costs incurred in purchase, maintenance, and depreciation of capital equipment. Agriculture, construction, and coal-mining industries are examples of labor intensive industries.

Detailed explanation-5: -Labour intensive technique will be a useful method to raise the present level of consumption. These techniques tend to raise the level of wages. These increased wages will automatically be spent on consumption. In a sense labour intensive technique will ensure a higher level of consumption of the working classes.