In the bustling city of Efficiencyville, a manufacturing company has implemented new technology and streamlined processes to produce more units in the same amount of time. As a result, the company experiences a significant increase in output per worker.

Question

In the bustling city of Efficiencyville, a manufacturing company has implemented new technology and streamlined processes to produce more units in the same amount of time. As a result, the company experiences a significant increase in output per worker. 
What economic concept best captures this improvement in the company's efficiency?

Productivity

Marginal Benefit
Marginal Utility

GPT-4o mini · Answer

The economic concept that best captures the improvement in the company's efficiency is Productivity.

Productivity refers to the effectiveness of productive efforts, measured as the ratio of outputs to inputs in the production process. In this case, the increase in output per worker indicates that the company is producing more with the same amount of labor, reflecting improved productivity.