Productivity is considered by considering Cobb-Douglas production function and focusing on total factor productivity (TFP). We argue that developed economies like the United States need to develop TFP by utilizing advances in computation power and insights into modeling the manufacturing process. An example of optimizing the inspection gauging limits by selecting the economically optimal decision rule is presented and further generalizations of optimizing the entire metrology system are discussed.
Proceedings Title: Proceedings of the ASPE 2009 Summer Topical Meeting: The Economies of Precision Engineering
Conference Dates: July 7-8, 2009
Conference Location: East Peoria, IL
Pub Type: Conferences
precision engineering, productivity, decision rule, guard band, simulation, risk-analysis