Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Businessweek Archives

Enjoy The Surge In Productivity It May Not Last


Economic Trends

ENJOY THE SURGE IN PRODUCTIVITY--IT MAY NOT LAST

Although business productivity surged by 3.2% last year, its strongest showing in two decades, economist Michael Moran of Daiwa Securities America Inc. notes that it's still far too early to conclude that this gain represents a long-term improvement in the economy's performance. "Productivity has a strong cyclical component and typically grows very rapidly in the early stages of an expansion," he says.

In fact, Moran calculates that productivity growth during the first seven quarters of the current upswing just about matches the average of the prior six recoveries. The robust expansion that began in late 1982, he cautions, also fueled speculation that the use of new technologies was pushing productivity onto a higher growth path.GENE KORETZ


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus