Final answer:
Productivity is a vital component in both goods-producing and service occupations as it determines the efficiency and competitiveness of economic activities by measuring output per unit of input.
Step-by-step explanation:
True. Productivity is important in both goods-producing occupations and service occupations as it measures output per unit of input, which is key to economic efficiency and competitiveness. Productivity in any occupation, whether it is in the production of goods or the provision of services, is a critical aspect of economic performance. Improved productivity means more output is being produced from the same amount of inputs, such as labor and capital. In goods-producing occupations, this may entail producing more products in the same amount of time or with fewer resources.
Similarly, in service occupations, enhanced productivity can lead to providing more services or better quality services without increasing the input costs. Factors like technology, economies of scale, and workforce efficiency contribute significantly to productivity improvements. Measuring productivity using GDP per worker helps compare the performance of different sectors within an economy as well as between different economies. It is also essential for determining the comparative advantages that different economies possess.