As far as production always needs the production factors, an increase in production is possible only in two cases; either increasing the amount of the production factors or manipulating them in a better way. Regarding resource limitations, having a better resource management and applying new approaches in combining the resources optimally would help an increase in production. As long as productivity is of great importance, in this paper we have first introduced the theoretical basis and the literature and afterwards we have calculated the productivity of the production factors; i.e. labour and capital, in Agricultural, industry and Business in Kurdistan. The findings of the paper showed that the greatest general productivity goes to Agricultural compared to industry, Business and Services. By the end, we have introduced and analyzed the influential factors on the total factor productivity of all the factors. Real wages, the actual costs of using the capitals, the capital per head and the relationship of the scientific, technical and expert staff with the occupation generally were chosen as the effective variables in the general productivity of the factors all. As estimated, real wages, the actual costs of using the capitals and the staff’s relationship with the occupation generally, have got positive effects on the productivity while the capital per head influences that in a negative direction. This negative coefficient of the capital per head declares that the tendency towards technology and capital activities does not help the total factor productivity to raise.
