Tootlikkuse

Tootlikkus is a central concept in economics and business describing the efficiency with which inputs are transformed into outputs. In Estonian, the noun tootlikkus denotes productivity, and the genitive form tootlikkuse is used when saying "the productivity's" or "of productivity." In broader usage, it refers to how effectively labor, capital, and other resources are used to produce goods and services.

Productivity is typically measured as output per unit of input. The most common figure in macroeconomics is labor productivity, such as real GDP per hour worked. Total factor productivity (TFP) measures output not directly explained by the quantity of inputs, capturing efficiency gains from technology and organization.

Drivers include technology, skills, management practices, capital deepening, infrastructure, and innovation. Policy and business decisions that promote education, research and development, and capital investment can boost productivity growth. Improvements can raise living standards and competitiveness, but may also involve structural adjustments in the labor market.

Measurement challenges include data quality, differences in price and quality over time, and cross-sector comparisons. In practice, estimates can vary depending on the chosen input bundle and price measures.

Statistics agencies typically publish productivity indicators to inform policy and corporate planning.