Why has productivity recently stagnated in many countries? In this recent VoxEU article, Ian Goldin and Pantelis Koutroumpis together with INET Oxford researchers François Lafond and Julian Winkler evaluated the leading explanations for this productivity stagnation.
Labour productivity is a key determinant in improving living standards. But in recent years, productivity has stagnated, if not declined, in many countries around the world. The researchers re-evaluate the various reasons as to why this might be, applying three criteria to the existing explanations for the slowdown. They find that the slowdown in productivity can be attributed to numerous factors, ranging from mismeasurement to changes in trade patterns.
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