Answer:
Answer and Explanation:
This statement is true
The traditional way to measure productivity is by dividing outputs by inputs. This method to measure productivity only takes into account the number of final products or services produced. This type of measurement is very sensitive to factors like knowledge and more advanced technology. These two aspects are part of Intellectual Capital. Intellectual Capital provides tacit expertise that can help a worker to increase his/her efficiency. That is to say, producing more with less. For instance, let's assume two workers produce shoes. One of the workers has limited knowledge of machines and prefers to manufacture a great part of the shoes manually which takes more time. On the other hand, the second worker knows how to automate specific tasks with the help of machines to reduce the time at which he/she produces one pair of shoes. The second worker will produce more shoes than the first worker during the same period. Therefore, the second worker will be able to produce more with the same labor.