In: Economics
It is no secret that U.S. labor productivity accelerated in the
second half of the 1990s. The bulk of the spurt can be traced to
the boom in investment information technology capital and to the
growth in the information technology-producing part of the economy.
Measurement issues abound and having better data would help resolve
them. Whether or not the change in productivity is cyclical or
structural is too soon to tell. Do you think that US economy will
experience higher labor productivity soon?
Briefly discuss.