How is labour productivity measured?
A) as total output times total employment
B) as the total output of all workers employed
C) as total output divided by the number of units of labour employed
D) as total labour input divided by output

Question

How is labour productivity measured?  
A) as total output times total employment 
B) as the total output of all workers employed 
C) as total output divided by the number of units of labour employed 
D) as total labour input divided by output

Quizplus · Accepted Answer

Labour productivity is measured as total output divided by the number of units of labour employed, which gives us an efficiency ratio between the output produced and the labor force used. This measure helps us to determine how efficient an organization is utilizing its labor resources. Option A and B are incorrect because they do not account for per unit labor productivity, and option D is incorrect because it measures labor efficiency in reverse, output/input instead of output per unit of input.

How Is Labour Productivity Measured