how does higer rate of net capital formation lead to higher level of productivity?
Answers
Answered by
5
Answer:
Capital formation implies an increase in capital assets such as plant and machinery, buildings and equipment available to the firm. Now, with a higher net capital formation, means higher capital equipments per unit of labour. This leads to a higher productivity/efficiency of labour.
hope it helps you ♥✌️⚡
Similar questions
English,
3 months ago
India Languages,
3 months ago
Computer Science,
3 months ago
French,
6 months ago
Math,
6 months ago
Computer Science,
10 months ago