ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The four key types of productivity measures are capital productivity, material productivity, labor productivity, and total factor productivity.

Detailed explanation-2: -To calculate productivity, you divide the average output per period by the costs incurred or the resources, such as personnel, consumed in that period.

Detailed explanation-3: -Labor productivity: measures the total economic output (revenue) per labor hour. Capital productivity: determines the efficiency in which capital (such as machinery) is used to produce a specific output. Material productivity: measures the total economic output generated per unit of material used.

Detailed explanation-4: -So the job of productivity measurement is to highlight how to get more units of output (goods produced or services rendered) for each unit of input (materials, labor hours, machine time) than your competitors are able to deliver.