labour-intensity

labour-intensity
The proportion of labour in the total inputs to a productive process. Some processes involve large amounts of labour and few other inputs: for example, the production of haircuts. Others involve large amounts of other inputs and little labour: for example, the operation of nuclear power stations. Labour-intensive processes are those where the ratio of labour to other inputs is relatively large. Where alternative techniques of production are possible, labour-intensity can be varied in response to changes in the relation betwen real wages and the cost of using other inputs.