This article is a response to the comments of Hughes and Serpkenci (1985) on Ingene (1982). The measurement model used in the 1982 article is discussed, with reference to Hughes/Serpkenci's comments, and a perspective is provided on the use of ratio variables. In light of the preceding, some of the variable/hypothesis relations are reconceptualized and redefined. Two statistical techniques are then used to estimate the determinants of labor productivity, and substantial support is found for the hypotheses. Accordingly, there is no reason to doubt the validity of the substantive interpretations contained in this and the original article.
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