One of the notable aspects of the last couple of decades has been a global trend toward labor contributing a smaller percentage
of economic productivity, with wages following the trend.
The efficiency of a city or enterprise should not be measured simply in terms
of its economic productivity, but also, and more importantly, in terms of its ability to contribute to the satisfaction of basic human needs of those affected by the city or enterprise.
Some postulate that the neutral rate is in part a function
of economic productivity and population growth and that the low interest rate structure evident today reflects the current low productivity level.
Not exact matches
Raise interest rates in the U.S. and you could kill the recovery and exacerbate the problem
of long - term unemployment, with lasting effects
of labour
productivity,
economic growth and, yes, even government revenues.
It will not be easy, but China's future «
economic miracle» will lie in its ability to boost
productivity and its use
of big data and Internet technology to stimulate domestic consumption and generate exponential development opportunities,» wrote Ma.
«The key immediate
economic implication
of Donald Trump's election win is that the TPP trade deal, which many in Japan had hopes would drive faster gains in
productivity, has no hope
of being implemented,» he wrote in a note to clients.
The paper correctly diagnoses the U.S.
economic problem as a slowdown in the growth
of productivity, which in turn limits growth in pay.
BABRAHAM, United Kingdom - Bank
of England Deputy Governor Dave Ramsden takes part in a panel discussion on
productivity and
economic rebalancing with the Confederation
of British Industry's director - general, Carolyn Fairbairn.
Britain's
productivity crisis has been a driving force behind the dismal
economic growth that has characterised its economy since 2009, and policy wonks are increasingly concerned, with Chancellor Philip Hammond last week announcing billions
of pounds
of extra investment more pounds to his «National
Productivity Investment Fund.»
Symptoms include lack
of energy, changes in appetite and sleep patterns, substance abuse, anxiety, and thoughts
of self - harm, which, while clearly not great for mental or physical health, also take a toll on
economic productivity.
Among the factors that could cause actual results to differ materially are the following: (1) worldwide
economic, political, and capital markets conditions and other factors beyond the Company's control, including natural and other disasters or climate change affecting the operations
of the Company or its customers and suppliers; (2) the Company's credit ratings and its cost
of capital; (3) competitive conditions and customer preferences; (4) foreign currency exchange rates and fluctuations in those rates; (5) the timing and market acceptance
of new product offerings; (6) the availability and cost
of purchased components, compounds, raw materials and energy (including oil and natural gas and their derivatives) due to shortages, increased demand or supply interruptions (including those caused by natural and other disasters and other events); (7) the impact
of acquisitions, strategic alliances, divestitures, and other unusual events resulting from portfolio management actions and other evolving business strategies, and possible organizational restructuring; (8) generating fewer
productivity improvements than estimated; (9) unanticipated problems or delays with the phased implementation
of a global enterprise resource planning (ERP) system, or security breaches and other disruptions to the Company's information technology infrastructure; (10) financial market risks that may affect the Company's funding obligations under defined benefit pension and postretirement plans; and (11) legal proceedings, including significant developments that could occur in the legal and regulatory proceedings described in the Company's Annual Report on Form 10 - K for the year ended Dec. 31, 2017, and any subsequent quarterly reports on Form 10 - Q (the «Reports»).
These recommendations were in fact cited by the Organisation for
Economic Co-operation and Development (OECD) in its 2016 annual Economic Survey of Canada.Naming a lack of productivity as a major impediment to future economic growth, the OECD called for Canada to pursue a platform of deregulation while also reducing interprovincial trade barriers and providing more incentives for small - and medium - sized companies to innovate and
Economic Co-operation and Development (OECD) in its 2016 annual
Economic Survey of Canada.Naming a lack of productivity as a major impediment to future economic growth, the OECD called for Canada to pursue a platform of deregulation while also reducing interprovincial trade barriers and providing more incentives for small - and medium - sized companies to innovate and
Economic Survey
of Canada.Naming a lack
of productivity as a major impediment to future
economic growth, the OECD called for Canada to pursue a platform of deregulation while also reducing interprovincial trade barriers and providing more incentives for small - and medium - sized companies to innovate and
economic growth, the OECD called for Canada to pursue a platform
of deregulation while also reducing interprovincial trade barriers and providing more incentives for small - and medium - sized companies to innovate and invest.
And being perhaps the world's most comprehensive aggregator
of economic data for the largest and most advanced economies on the planet — and having tracked such data for the last five decades — one might suggest that the OECD knows a thing or two about improving
productivity and making an economy grow.
An Organization for
Economic Cooperation and Development report a few years ago concluded that «a key cause
of the underlying fall in manufacturing employment everywhere is rapid
productivity growth, whether by restructuring inefficient plants or deploying skills, knowledge, technology and new processes to boost efficiency.»
Every dollar invested in treatment could lead to a return
of $ 4 in
economic productivity.
«It will be difficult for Dollar General to maintain current levels
of productivity and profitability as some consumers will probably return to other retail channels once
economic conditions improve,» wrote Zoe Tan, an analyst with Morningstar, at the time
of the announcement.
Economic growth in China has long been premised on high levels
of savings and investment, growth
of manufacturing and exports, migration
of low -
productivity rural workers to higher -
productivity urban jobs and integration
of new technologies.
The trend worries economists because new businesses play a vital role in creating jobs, improving
productivity and spurring
economic growth; some researchers believe the decline in entrepreneurship, and in other measures
of economic dynamism such as labor mobility, could be part
of the reason the U.S. has experienced such a slow bounceback from the past two recessions.
The underlying determinants for these declines are related to the global supply and demand for funds, including shifting demographics, slower trend
productivity and
economic growth, emerging markets seeking large reserves of safe assets, and a more general global savings glut (Council of Economic Advisers 2015, International Monetary Fund 2014, Rachel and Smith 2015, Caballero, Farhi, and Gourincha
economic growth, emerging markets seeking large reserves
of safe assets, and a more general global savings glut (Council
of Economic Advisers 2015, International Monetary Fund 2014, Rachel and Smith 2015, Caballero, Farhi, and Gourincha
Economic Advisers 2015, International Monetary Fund 2014, Rachel and Smith 2015, Caballero, Farhi, and Gourinchas 2016).
Potential
economic growth is going to slow dramatically over the coming years because
of slowing growth in the labor force, due to growing demographic trends, and continued poor
productivity performance.
And the Council
of Economic Advisers announced that policies such as work flexibility «lead to higher labor force participation, greater labor
productivity and work engagement, and better allocation
of talent across the economy.»
Capex — the money that a company invests in fixed, tangible assets such as machinery, buildings and technology — is a major component
of productivity growth and
economic expansion.
This implies a slowdown in reforms that increase the private sector's
productivity and
economic share, together with a greater
economic role for state - owned enterprises (and for state - owned banks in the allocation
of credit and savings), as well as resource nationalism, trade protectionism, import - substitution industrialisation policies, and imposition
of capital controls.
«Financial innovation will not only enhance
productivity of economic activities, but also make financial intermediation more seamless,» Johari told The Malaysian Reserve, going on to say, «This is particularly relevant to recent innovations like bitcoin.»
Most economists expect potential
economic growth to decline from about 3 per cent annually to about 2 per cent over the next ten years, as a result
of continued poor
productivity growth and a slowing labour force growth as the population ages.
Combining the plausible ranges
of employment and
productivity growth in the coming years (but ignoring the possibility
of outright recession), the bounds
of average U.S.
economic growth over the coming 8 years range between 0.7 % annually to an extremely optimistic 3.2 % annually, with a likely midpoint
of less than 2 % annually for real GDP.
Instead, the arithmetic
of economic expansion - employment growth plus
productivity growth - is already constrained by a 4.6 % unemployment rate and a deficit on current account, and seems unlikely to be helped by the current policy direction, aside from rather short - lived effects.
In a recent speech to the St. John's Board
of Trade, Bank
of Canada Governor David Dodge made a strong case that Canada should concentrate on increasing
productivity, so that we can have sustainable
economic growth and rising standards
of living in the future.
Higher
productivity growth, sustained over a few decades, would have a profound impact on future living standards, but to expect an
economic boom
of anything but the short - lived variety is to rely on arithmetic that doesn't add up.
The budget does not even provide a projection
of Canada's long - term potential
economic growth and the key determinants underlying it -
productivity growth and labour force growth.
In any case, smaller stocks will probably be most vulnerable to earnings shortfalls in the coming year or two, stemming from either slower
economic growth, rising real wage costs in excess
of productivity growth, or most likely, both.
We believe that supporting the work
of innovators and entrepreneurs across the country is integral to Canada's future
productivity,
economic prosperity and social well - being.
This illustrates the basic
economic reality that
productivity growth is the only game in town when it comes to raising the
economic and financial well - being
of people over a long period.
«Since Canadian
productivity performance is often compared to the
productivity performance in the United States, the methodology behind the estimates for Canada should be comparable to the largest extent possible to that used by the U.S. Bureau
of Labor Statistics (BLS),» wrote (pdf) Wulong Gu,
of StatsCan's
Economic Analysis Division.
The
economic tension «will probably dampen
productivity growth in the coming decades; it will dampen it in China and it will probably dampen
productivity growth globally,» said Louis Kuijs, head
of Asia economics at Oxford Economics.
Although China's dynamic and diverse private sector is the primary driver
of the country's
economic growth, Beijing sees the importance
of strengthening the competitiveness and
productivity of its state - owned companies.
This, in turn, reflects ongoing restraint in wages growth, despite the low unemployment rate, and
productivity growth that is unusually strong for this stage
of the
economic cycle.
One
of the greatest
economic mysteries out there, according to many market watchers: Why labor market
productivity has slowed sharply around the world in recent years.
The British
economic recovery is still fragile and faces many
of the same problems Carney seemed unable to solve during his tenure in Canada: sluggish labour
productivity, businesses that are stockpiling cash, and a property bubble that seems at risk
of bursting.
Technology companies now make up a sizable portion
of emerging - market stock markets, and these companies have the opportunity to drastically improve
economic productivity through things like mobile banking that are hard to replicate in developed economies.
The Survey also evidences, however, that despite the most severe
economic downturn since the Great Depression, ESOP companies on the whole continue to have increased share value, better
productivity, and overwhelming support among leaders
of the companies.
Even as
economic and business conditions have improved over the years, many
of these companies continue to be cautious about investing capital to improve
productivity.
The speech starts by setting out three key themes
of the Bank's recent communication about Australia's transition from the resources sector boom to more normal
economic conditions: that the sheer scale
of the boom means that this transition is challenging, and that the broader global environment compounds the challenge; that a reasonably successful transition is possible given our economy's positive fundamentals and flexibility; and that monetary policy is doing what it can to help the transition, but that the chances
of success would be boosted by a lift in
productivity growth and an increase in the expected risk - adjusted rate
of return on investment.
Real
economic growth is a function
of two factors: hours worked and
productivity growth.
Our
economic issues are myriad but a big one is the lack
of productivity growth that is a result
of reduced investment over the last decade and half.
Jonathan has led numerous research efforts on global
economic trends, including growth and
productivity, urbanization, affordable housing, energy and sustainability, e-commerce, and the
economic impact
of the Internet, as well as on
productivity growth and
economic development in China and Asia.
I am a bit doubtful about China's
economic expansion strategy — labor
productivity is generally very low in Laos and Cambodia and those countries that are not already even part
of the Chinese - driven bubble economy.
They didn't, because the theory
of the Republican tax plan is completely different, namely that cutting corporate tax rates will incentivize more business investment in capital goods, thus spurring higher
productivity, more
economic growth, and higher wages over the long run.
With all these great benefits to individuals, communities, and businesses comes one more boon: the White House Council
of Economic Advisors reports that by increasing
productivity and job satisfaction, work flexibility is good for our economy at large.
When comparing labour
productivity performance between
economic cycles, it is therefore important to measure labour
productivity over common phases
of the cycle.