1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Paul [167]
3 years ago
6

Explain how productivity affects economic growth

Social Studies
2 answers:
SVEN [57.7K]3 years ago
6 0

Answer:

An increase in productivity directly impacts positive economic growth.

Explanation:

Productivity is the ratio between production and the resources used to carry it out.

The aggregate productivity of a country could be calculated or estimated by adding up all those produced in a given period valued in monetary units divided by all the costs incurred to obtain this production.

The productivity can increase if the production increases and the costs are in the same level, if the production is in the same level but the costs decrease, both of them decrease but the costs decrease in greater proportion than the production or if the production increase in greater proportion than the costs.

The last case is the one with the highest occurrence in reality.

If the difference between the production and the cost of the production factors grows, the individuals and companies can increase their level of savings and then invest those savings in technological improvements, innovations, new businesses, etc. so that global productivity is further increased and the economy is further diversified.

This mechanism leads to an increase in corporate profits, greater tax collection by governments, wage increases for workers, greater diversity of available goods and services, etc. This results in a higher standard of living for the population and definitely economic growth.

This economic growth will continue to grow if the increase in productivity is maintained over time. It is a mechanism that feeds permanently.

Veronika [31]3 years ago
3 0
Increased productivity<span> creates </span>economic growth<span> allowing firms to produce greater output for the same level of input theyll earn higher revenues and generate higher Gross Domestic Product.</span>
You might be interested in
Type the complete predicate of this sentence. the new chemistry teacher at your school is my friend's cousin.
Digiron [165]
The correct answer is is my friend's cousin.
A predicate is actually the verb in a sentence - it can be simple (only one word), or complete (including all words related to it). In the case above, the simple predicate would be just IS, however, since we are looking for the complete predicate, everything following IS will fall under that category.
5 0
3 years ago
A government creates an army which purpose of government is fulfilling
timama [110]
Congress's power to raise an army
7 0
3 years ago
Read 2 more answers
URGENT!
notsponge [240]
The answer is D, because they wanted to live in the usa
8 0
3 years ago
When advertising a job employers usually set specific requirements in each of the following areas EXCEPT
bogdanovich [222]
A and C should be right
6 0
3 years ago
Read 2 more answers
Which describes a consumer in a pond ecosystem?
saw5 [17]

Answer:

A.

Explanation:

Cattail and water Lilly's are plants and producers so the catfish is the most reasonable answer

5 0
2 years ago
Other questions:
  • How would states be represented in Congress under the New Jersey Plan?
    7·2 answers
  • Should Christians just rely on evangalists for church growth? (12 marks ) ​
    7·1 answer
  • The ________ was created in an effort to make it easier for victims to report cyber crimes
    13·1 answer
  • What was a characteristic of american companies in the 1920
    11·1 answer
  • The ability to remember information while doing another cognitive task
    9·1 answer
  • What caused the great economic inequality between the rich and the poor during the Progressive Era
    12·1 answer
  • What problems could occur if only one person in town could read?
    15·1 answer
  • When may a listing broker change her offer of compensation to a cooperating broker?
    13·1 answer
  • Who are the combatants in the Russian invasion of Ukraine
    10·1 answer
  • In pavlov's original experiment, the bell began as a(n) blank______ stimulus and by the end became a(n) blank______ stimulus.
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!