Productivity Write for Us

Productivity is responsible for measuring and calculating the total goods and services that have been producing by each factor used (land, work, capital, time, etc.) during a given period. In other words, it allows us to know what a worker produces in an hour, in a day or even in a month.

All though, a purpose of it remains to measure the productive efficiency for each factor or resources used, assuming that efficiency is to achieve the highest possible performance using a minimum amount of resources.

Types of Productivity

All though, depending on the factors that want to be taken into account in the production process, it can be classify into several types :

  • Labour : it is the one that is related to the final production and the amount of work that has been using to produce. Therefore, it can be measure according to the hours of work necessary to obtain a certain quantity of product.
  • Total factor : The final production is related to the natural factors used in the production process. These factors are capital and also, land.
  • Marginal : The extra production obtained with one more unit of a productive factor is consider, keeping everything else constant.

Importance Of Productivity

The increase is of vital importance since it enables the quality of life of a society to improve, influencing wages and the profitability of projects, which also allows investment and employment to increase.

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