Productive capacity

Though difficult to measure as a single concept, the productive capacity of an economy is a matter of major importance to the process of economic and social development. It is the primary determinant of a country’s viability in the world economy and of its ability to maintain and improve the level of living of its inhabitants. In any system of progress appraisal, therefore, it is necessary to examine the changes that have been taking place in the various aspects of the economy that have a bearing on its productivity. These may be divided into three broad categories— expansion in physical plant and equipment, improvement in the knowledge, skills and motivation of workers and changes in conjuncture and organization which facilitate the more efficient use of productive factors.

Sustainable Development Goals:

Decent Work and Economic Growth

Industry, Innovation and Infrastructure

Climate Action