Does optimal use of an input(such as labor) mean maximizing average output(per unit of input)?

Answer 1

We can consider optimal use of input down two points of view: thecnical (productivity) and economic (price of the input, salaries).
The output can be seen down the sames points of view: technical (productivity) and economic (benefits).
You must be more explicit

Answer 2

1. In economics, "optimal" and "average" almost never appear together. Think in terms of "marginal" output.

2. It is rarely the case that there is a single input, so, in general, the desire is to find the optimal combination of inputs. Often, one input dominates the equation so one pays most attention to that element, but even then, one has to keep the others in the back of one's mind.

3. And, as the previous answer noted, when one refers to an "input" there is some ambiguity associated.

For example, with respect to labor, there is the issue of labor $ vs. labor hours vs. number of workers.

In France, hiring and firing is very hard and unions are strong, so it is in the interests of French businesses to maximize the productivity per labor hour (and they do better than the U.S. in this regard).

For salaried and ununionized workers, it is cheaper to get them to work more overtime, so the emphasis in the U.S. is productivity per worker (we are higher than France on this).

For work that can be outsourced abroad, the question becomes one of per dollar of labor costs: are total labor costs reduced even if the cost in man-hours is higher?

Answer 3

i could think of so. even nonetheless there are different variables to evaluate as to the efficacy of the source. A source with a severe value of means utilization could yield an better output as to that with a lesser means of utilization. As consistent with occasion, a dude with a baccalaureate has extra advantageous ability to make a contribution to a firms mid-administration desires than one with a grade 2 coaching, ceteris paribus. yet one, with a low flair for administration will ward off output overall performance, than one with a organic flair (and actual-existence journey),.... could.