Assets as a factor of intensifying human capital productivity

Abstract

This article aims to perform an analysis with a microeconomic aspect. This study shows the importance of the proper composition of assets and human work in the growth of labor productivity and effectiveness. This paper explains the importance of the eight economic categories: capital, labor, value, money, the monetary unit, assets, resources and the constant of potential growth. On this basis the function of economic activity (FAE) shall be introduced, as a tool for causal testing. This allows the description of the manufacturing processes through the analytic function of many variables, which allows causal testing using differential calculus. The results confirm the fact that investing in „physical capital” – assets, is directly reflected in the growth of labor productivity. It also affects favourably the results of manufacturing processes. During the study variable management F is also analysed, which represents, in this type of research, category TFP Total Factor Productivity.