The number of workers increased by 25% , and output (total product) by 75% Determine how much labor productivity changed (in percent)?

To determine the change in labor productivity, we need to calculate the percentage change in output per worker.Let's assume the initial number of workers is and the initial output is . After the increase, the number of workers becomes and the output becomes .Labor productivity is defined as the output per worker. Therefore, the initial labor productivity is and the new labor productivity is .To find the percentage change in labor productivity, we can use the formula:Percentage change in labor productivity = Substituting the values, we get:Percentage change in labor productivity = Simplifying the expression, we have:Percentage change in labor productivity = Percentage change in labor productivity = Percentage change in labor productivity = Therefore, the labor productivity increased by .