Eco-nomic growth is a production increase achieved by an eco-nomic community. Download full-text PDF Read full-text. In economics, production theory explains the principles in which the business has to take decisions on how much of each commodity it sells and how much it produces and also how much of raw material ie., fixed capital and labor it employs and how much it will use. Traditional theory of production concentration on the first case i.e. EMBED EMBED (for wordpress ... 14 day loan required to access EPUB and PDF files. 1. Download citation. For example, f :