Firms are concerned with "effectiveness of effort." They examine how much output they receive from every unit of input,described simply as

Question

Quizplus · Accepted Answer

Productivity is the measure of how much output a firm receives per unit of input, which directly aligns with the concept of "effectiveness of effort." Efficiency wages refer to the pay given to employees to incentivize higher levels of productivity, but it's not the same as productivity itself. Efficacy, proactivity, and human capital are all related to different concepts and are not directly relevant to the question.

Firms Are Concerned with "Effectiveness of Effort