In measuring the total factor productivity of an organization,which of the following is a measure of labor's contribution to output production?
A) The amount of raw materials consumed
B) The number of units of energy consumed
C) The number of hours worked
D) The number of kilowatt-hours consumed
E) The number of machineries used

Question

Quizplus · Accepted Answer

In total factor productivity, each input is typically measured in different units: Labor's contribution to producing an output is measured by hours worked; the contribution of materials is measured by the amount consumed (for example, tons of iron ore required to make a ton of steel); the contribution of energy is measured by the units of energy consumed (for example, kilowatt-hours); and so on.

In Measuring the Total Factor Productivity of an Organization,which of the Following