What is meant by the term 'a rise in productivity'?
A) An increase in business profits
B) An increase in a firm's output greater proportionally than a corresponding increase in its inputs
C) An increase in the amount that a business produces
D) An increase in a firm's use of resources which leads to an increase in its outputs

Question

Quizplus · Accepted Answer

A rise in productivity specifically refers to a situation where a firm's output increases by a greater proportion than the increase in inputs. This means the firm is able to produce more with either the same or less input, indicating an improvement in efficiency.

What Is Meant by the Term 'A Rise in Productivity