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Causality And Determinism In The Trinomial Productivity - Cost - Profit Relationship And Its Utilization In The Economic - Financial Analysis Of A Company

Author

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  • Dumitru MARGULESCU

    (Athenaeum University of Bucharest)

  • Serghei MARGULESCU

    (Nicolae Titulescu University Bucharest)

Abstract

A special role in the analysis and evaluation of the functionality of Microsystems (firms, organizations) is attached to the logical-economic format involving causality and determinism to explain certain conditions reflected the fundamental variables such as trinomial relationship between productivity, cost and profit. Obviously in this approach the labor productivity is seen as the basic informational aggregate of the system assessment, through the demonstrated impact on costs and profits substantially by the effect of correlation between labor productivity growth and average wage growth. Networking and measuring such an impact is exemplified in figures.

Suggested Citation

  • Dumitru MARGULESCU & Serghei MARGULESCU, 2011. "Causality And Determinism In The Trinomial Productivity - Cost - Profit Relationship And Its Utilization In The Economic - Financial Analysis Of A Company," Internal Auditing and Risk Management, Athenaeum University of Bucharest, vol. 1(6(21)), pages 11-20, March.
    • Handle: RePEc:ath:journl:tome:21:y:2011(vi):i:6(21):p:11-20
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    More about this item

    Keywords

    causality; determinism; overall and partial labor productivity; productivity - average wage correlation; rate of labor costs; profit on the turnover; rates of commercial profitability and consumed resources.;
    All these keywords.

    JEL classification:

    • G31 - Financial Economics - - Corporate Finance and Governance - - - Capital Budgeting; Fixed Investment and Inventory Studies
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

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