18. You have made some design on increasing productivity of labour. How does this decision influence on number of goods?

Labour productivity is important in business economics. Productivity growth is to reduce the cost of human labor per unit of production. Increasing productivity is one of the most important indicators of the company, being the main source of expansion. It has a significant impact on the results of the company, such as an increase in output of goods (works, services), reducing its production costs, increase profits, increase efficiency of fixed and working capital and other economic indicators.

Another factor in improving productivity - better organization of production: specialization of enterprises and industries, ie, the concentration of production of similar products on the minimum number of plants or production sites.

The main condition for the growth and improvement of production is to increase labor productivity. Productivity enhancement, influenced by a number of factors, especially the scientific and technical progress.

Technological progress reduces the complexity of products by improving equipment and replace outdated, less productive, through the introduction of more advanced technology, mechanization, through better design of products. (If no degradation products can simplify the design, the productivity increase.)