Describe the relationship between a firm's productivity level affect and a country's GDP

Question

What will be an ideal response?

Answer 1

Answer: Productivity is a measure of economic performance: It compares how much we produce with the resources we use to produce it. The formula is fairly simple. The more services and goods we can produce while using fewer resources, the more productivity grows and the more everyone–the economy, businesses, and workers–benefits. At the national level, the most common measure is called labor productivity, because it uses the amount of labor worked as the resource to compare against the benefits, the country's GDP, resulting from using that resource. When consumers buy, or don't buy what is produced, GDP increases, or suffers and productivity falls. Producing quality, then, means creating fitness for use–offering features that customers want.