Innovation
Productivity
Economically, productivity is the efficiency with which goods or services are produced by a given set of inputs, such as capital and raw materials. Empirical evidence across long time periods and many economies reveals a strong correlation between the productivity of an economy and economic growth and prosperity. Economic success generally is seen as being highly dependent on productivity.
Productivity sometimes is considered to be an intermediate stage between the inputs, such as physical infrastructure, and the outputs of economic performance and prosperity. An innovative environment should lead to improvements in worker productivity, though it may take a number of years until improvements in the innovative environment result in gains in productivity and prosperity.
Productivity can be measured at individual, company and geographic levels, commonly as output per unit of labor. Various measures of worker productivity are available nationally, but no direct measure of productivity is available for states or substate areas. As a proxy, gross domestic product (GDP) per employee is presented on the Innovation Indicators dashboard.
