In team production, marginal products of
cooperative team members are not so
directly and separably (i.e., cheaply) observable.
What a team offers to the
market can be taken as the marginal
product of the team but not of the team
members. The costs of metering or ascertaining
the marginal products of the team's
members is what calls forth new organizations
and procedures. Clues to each input's
productivity can be secured by observing
behavior of individual inputs. When lifting
cargo into the truck, how rapidly does a
man move to the next piece to be loaded,
how many cigarette breaks does he
take, does the item being lifted tilt downward
toward his side?