Disadvantages of productivity improvement?principles of management t y baf university exam question

I do not know what your particular textbook says and you
probably ought to look in it for the exact answer that you are expected to put on the
exam.

To me, the disadvantages of productivity improvement
are closely tied to the disadvantages of capitalism in general because capitalism and
productivity improvement go hand in hand.

When productivity
improves, people in that industry tend to lose their jobs.  This is certainly a
disadvantage.  As productivity improves, there comes to be a race between firms to cut
costs and gain profits.  This leads, in the modern, world, to outsourcing.  Outsourcing
is certainly a problem for the people whose jobs are lost.