Report
The most difficult to understand in OECD countries is that the increase in capital intensity has not led to faster labour productivity gains
Since the late 1990s, OECD countries have been characterised by both: A n increase in capital intensity (and therefore a decline in capital productivity); A decline in labour productivity growth. This is very surprising: the increase in capital intensity should increase labour productivity. What explanations can we find to this paradox? Is the capital invested of poor quality? Have labour force skills declined? Do national accounting systems overestimate the fall in the price of capital, and therefore the increase in real capital, due to quality effects? We believe that the only relevant explanation is the decline in skills.
Provider
Natixis
Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.
Patrick Artus
Other Reports from Natixis
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.