Question

answer the following questions in the perspective of Karl Marx

1. Define productivity, and discuss the ways in which capitalism promotes the growth of productivity.

2. Why might capitalism not promote productivity growth at the same rate in all capitalist countries? In other words, how can we explain uneven development?

3. Which countries were leaders in productivity growth over the period 1950–2000 in the data given in the text?

4. In a capitalist country, how might government intervention increase the rate of productivity growth?

Answer 1

1.When an item is produced and there is continuity in that production, it is called productivity.Capitalism generally refers to private ownership in areas where government does not intervene, the principle of laissez-faire given by Adam Smith forms the foundation of capitalism where the government does not interfere with the sectors and private companies run the economy through their manuals. Capitalism changed the state of the economy because it was natural to increase production without government intervention, because government intervention brings elements like delay, corruption, and dictatorship to work which have a negative effect on production and in production, as a result of which the economy slows down, in contrast to capitalism private ownership increases transparency and the economy grows rapidly. As a result, employment opportunities also increase.