i dont get it, why is there so much whining then by failure to “increase productivity”? firms dont invest in tools & training and they still want productivity line to go up right? or am i missing something?
Gotta look at the definition of “productivity” people are using. Often it’s just productivity = revenue / number of employees.
Defined that way, you can fire 20% of employees and make the remaining employees do more work for the same pay. That causes a 20% increase in productivity because suddenly each employee is doing more work.
Doesn’t actually mean they want to make more things.
And of course, there’s nothing “unproductive” about having a whole slew of unemployed people who have been pushed out of the workforce as a reserve army of labor.
i dont get it, why is there so much whining then by failure to “increase productivity”? firms dont invest in tools & training and they still want productivity line to go up right? or am i missing something?
Gotta look at the definition of “productivity” people are using. Often it’s just productivity = revenue / number of employees.
Defined that way, you can fire 20% of employees and make the remaining employees do more work for the same pay. That causes a 20% increase in productivity because suddenly each employee is doing more work.
Doesn’t actually mean they want to make more things.
And of course, there’s nothing “unproductive” about having a whole slew of unemployed people who have been pushed out of the workforce as a reserve army of labor.