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sabahshahed294
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#1
Hi. 
I'm not appearing for GCSES but I am self-studying the subject to help me out in university as I'm planning a degree in it. I would like some help in a few doubts.
Now, I was studying about Productivity, I have a question based on it so here it goes.
It is considered that when employees in a firm having a greater efficiency, the amount of output per employee rises and this the cost of producing the product falls. It might be a silly question but, why does the cost of producing the product decrease? Confused on this.
I'm not appearing for GCSES but I am self-studying the subject to help me out in university as I'm planning a degree in it. I would like some help in a few doubts.
Now, I was studying about Productivity, I have a question based on it so here it goes.
It is considered that when employees in a firm having a greater efficiency, the amount of output per employee rises and this the cost of producing the product falls. It might be a silly question but, why does the cost of producing the product decrease? Confused on this.
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miacat
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#2
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#2
(Original post by sabahshahed294)
Hi.
I'm not appearing for GCSES but I am self-studying the subject to help me out in university as I'm planning a degree in it. I would like some help in a few doubts.
Now, I was studying about Productivity, I have a question based on it so here it goes.
It is considered that when employees in a firm having a greater efficiency, the amount of output per employee rises and this the cost of producing the product falls. It might be a silly question but, why does the cost of producing the product decrease? Confused on this.
Hi.
I'm not appearing for GCSES but I am self-studying the subject to help me out in university as I'm planning a degree in it. I would like some help in a few doubts.
Now, I was studying about Productivity, I have a question based on it so here it goes.
It is considered that when employees in a firm having a greater efficiency, the amount of output per employee rises and this the cost of producing the product falls. It might be a silly question but, why does the cost of producing the product decrease? Confused on this.
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sabahshahed294
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#3
(Original post by miacat)
Because the employee is inputting more effort - this is what makes the firm more efficient. An efficient employee will, in theory, work harder, meaning the cost of production (ie, employing more staff, purchasing more raw materials) should go down.
Because the employee is inputting more effort - this is what makes the firm more efficient. An efficient employee will, in theory, work harder, meaning the cost of production (ie, employing more staff, purchasing more raw materials) should go down.
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sabahshahed294
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#4
(Original post by miacat)
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My question is that,
If it happens that two sectors have comparatively the same rate of employment then as we compare the level of output, do we say for example, "The level of output and employment is higher in the primary and secondary sectors as compared to the tertiary sector." Is this possible? Or must it be one all the time? If yes/no then why? I have mostly seen examples of one sector being compared with two sectors but I just asked thinking if it's possible or not and felt confused.
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