Question

Productivity is defined as the quantity of a. labor required to produce one unit of goods and services. b. goods and services produced per unit of time. c. goods and services produced from each unit of labor input. d. labor required to produce a nation’s GDP.

Answer 1

Answer:

Option (C) is correct.

Explanation:

Productivity of labor refers to the term which is used by the firms for knowing the efficiency of the labor employed into the production of the output.

Productivity is determined by dividing the output of the firm by the inputs used in the production of the goods and services.

Productivity = (Output ÷ Input)

If the productivity of the labor is not achieved as per the company requirement then there is a fall in the labor employment.