Question

What are the different aspects of productivity of an Airline? How might these aspects be measured?

Answer 1

There are numerous aspects of Airline Productivity which includes

1) Labor Prouctivity

Labor Productivity can be easily measured in terms of  output per unit of labor and is then calculated by dividing output by a measure of the labor input. In case of airline transportion, the output is measured in terms of passenger-miles and ton-miles; for rail and truck transportation, output is measured in ton-miles.

2) Multifactor Productivity

It covers all the other aspects of inputs used where it refers to the productivity of all the inputs used in production.  In terms of multifactor productivity, the output growth is attributed to increases in productivity of the inputs and simply in other words multi-factor productivity can also be as a result of the technological progress