Question

How does productivity affect wages?

Answer 1

Productivity is the act of working in a job space, a good example is a factory of the Ford Car industry.

Explanation:

The introduction of division of labour (1 simple job every worker did), the moving production line (a conveyor belt moving the product) & standardisation (every product was the same, coined the advertisement term used by Ford; Any Colour, As long as it's black) meant a lot of cars could be produced in a relatively short amount of time.

This meant a lot of profit went to Ford & he was able to raise the wages (not just because of productivity but the fact he was losing workers because the work was boring, so to keep them he put the wages up).

Hope this helps.