Too Many Jobs Feel Meaningless Because They Are
A new book argues that work that is of no real value has proliferated. No wonder productivity is stagnant.
Are we creating value yet?
Photographer: Oscar Armelles/Ikon ImagesThis article is for subscribers only.
As earnings season is upon us, it’s worth asking: Does business create value these days the way it once did?
One sign it doesn’t is a significant decline in the formation rate of U.S. firms over the past few decades. Economists Peter Orszag and Jason Furman have argued that investment and innovation have taken a back seat to profits derived from economic rents. Political factors also increasingly appear to play a major role in driving corporate profits, as new regulations help incumbent firms, another strike against economic efficiency.