What is learning by doing theory of hicks and harrod?

Answer 1

The learning by doing theory, associated with economists Kenneth Arrow and Sir John Hicks, suggests that productivity and efficiency improve through practical experience and repetition in production processes. It posits that as workers engage in tasks, they acquire skills and knowledge, leading to innovations and better methods over time. This process not only enhances individual capabilities but also contributes to overall economic growth, as firms and industries become more proficient in their operations. Hicks and Harrod emphasized the importance of this experiential learning in shaping economic development and technological advancement.