Productivity and standard of living

668 views
380 views

Published on

Published in: Business, Education
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
668
On SlideShare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
17
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide
  • . Capital deepening: increase in amount of capital goods available per worker (more machines = more production)
  • Productivity and standard of living

    1. 1. Productivity and Standard of Living Prepared by: Rabin Bhandari
    2. 2. A typical family with all their possessions in the U.K., an advanced economy Real GDP per capita: $36,600 Life expectancy: 80.7 years Adult literacy: 99%
    3. 3. A typical family with all their possessions in Mexico, a middle income country Real GDP per capita: $14,800 Life expectancy: 76 years Adult literacy: 86%
    4. 4. A typical family with all their possessions in India Real GDP per capita: $3830 Life expectancy: 65.5 years Adult literacy: 74.04%
    5. 5. A typical family with all their possessions in Mali, a poor country Real GDP per capita: $1,100 Life expectancy: 53 years Adult literacy: 31%
    6. 6. Productivity • Productivity: Output/Input • Efficiency in industrial production. • Ratio of amount produced and the amount of any resources used. Productivity 1. Technology 2. Capital deepening 3. Educated and skilled workers 4. Training 5. Others: Loyalty to work, motivation Resources used 1. Land 2. Material 3. Plant and machine tools 4. Human Capital
    7. 7. Developing Countries • Low standard of living • Low productivity • Less human capital • Less physical capital • Traditional economies (subsistence farming-not to trade) • Human Resources( less skilled workers, education and literacy rates)
    8. 8. Developed countries International Monitory fund(2010-2012) What factors improve productivity? Investments in physical capital, human capital (education, health and training) and technology all improve productivity and ultimately raise a nation’s standard of living.
    9. 9. Standard of Living • Meaning: Degree of material well being available to a person or class or community which is necessary for sustaining and enjoying life. • Requirements: Standard of Living 1. Food 2. Clothing 3. Shelter 4. Security 5. Essential Services Productivity 1. Technology 2. Capital deepening 3. Educated and skilled workers 4. Training 5. Others: Loyalty to work, motivation
    10. 10. Standard of Living • More and cheaper food by increasing the productivity of agriculture. • More and cheaper clothing and shelter by increasing the productivity of industry. • More security and essential services by increasing all productivity and earning power, leaving more from which to pay for them. Production Vs Productivity?
    11. 11. Human Development Index Source: http://lifestyle9.com/worlds-best-country-to-live-in-2013/ World’s Best Countries To Live Countries with best quality of life 1. Norway 2. Australia 3. USA 4. Netherlands 5. Germany 6. New Zealand 7. Ireland 8. Sweden 9. Switzerland 10. Japan 11.Canada 12.South Korea 13.Hong Kong source: insidermonkey.com
    12. 12. Facts • China is still not a great place to be born. • Inequality plus poverty is much worse than just plain poverty. • Poverty, violence and/or lack of freedom define the worst countries to be born into. • The best countries to be born in are small, peaceful, homogenous, liberal democracies. • Money can't buy you happiness, though it will get you 2/3 of the way.
    13. 13. References  Production and Operations Management, Chunawalla & Patel, Himalaya Publishing House  http://www.jstor.org/discover/10.2307/2519196?uid=373825 6&uid=2&uid=4&sid=21102728138713 • CSLS-Industry Canada Conference on Canada in the 21st Century: Richard G. Harris Simon Fraser University and CIAR • http://lifestyle9.com/worlds-best-country-to-live-in- 2013/ • www.insidermonkey.com Thank

    ×