Sunday, September 12, 2010
Increasing Return
The concept of increasing return shows up in business efficiency, when a company adds new technologies to a process to increase output. Usually attached is the opposite of increasing return, diminishing return. With diminishing return, there is an associated critical point in the process of addition, where output has exceeded capacity. The more inputs that are added does not yield more output, it actually reduces output. The idea of increasing return can be applied to the labor market and the high demand for specialized employees. Individually, the more and more knowledge that a person gains, the easier it gets for them to learn new things. This is a great motivation for people, because there is not a capacity for discipline. It is up to the individual to take action and decide to learn. There is only a capacity for recollection. Discipline leads to experience and experience leads functional decisions. If one has the curiosity and desire for learning, the more valuable they are to an employer and the more likely they will be employed.
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