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Which of the Following Statements About Productivity Measures Is TRUE

Question 110

Multiple Choice

Which of the following statements about productivity measures is TRUE?


A) They may only be stated in terms of dollars.
B) Total factor productivity explicitly considers gains from using fewer inputs, not from substituting inputs.
C) Partial productivity measures allow managers to evaluate the effect of input substitutions on overall productivity.
D) It is important to use the results as a starting point for analysis.
E) The productivity measure may not be made for companies with multiple products.

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