Factors that influence labour productivity include

Question

Quizplus · Accepted Answer

Physical capital (such as machinery, equipment, and infrastructure), human capital (such as skills and education), and technology (such as automation and innovation) are the main factors that influence labour productivity. The other answer choices include some relevant factors, but they either do not cover the full range of significant determinants or include irrelevant ones (such as inflation and exchange rates). The demand for labour is an important factor for determining the quantity of labour demand but not necessarily its productivity. The real wage rate affects the incentive for workers to supply labour but does not determine the efficiency of their work.

Factors That Influence Labour Productivity Include