Impact of Increased Productivity on Economic Growth

In the context of economic growth and development, productivity is a critical factor that determines the efficiency with which an economy can convert inputs into outputs. An increase in productivity can lead to higher economic growth, improved standards of living, and enhanced competitiveness in the global market.

Consider a hypothetical country that has invested heavily in education and technology. As a result, the workforce becomes more skilled, and the adoption of advanced technology leads to increased output per labor hour. Which of the following best describes the likely impact of these productivity enhancements on the country's economy?