Andrew

Colesville, MD
<http://www.nytimes.com/2016/03/10/opinion/who-gets-the-blame-for-the-slowin
g-economy.html#permid=17851023> 7 hours ago

"For a start, global competition and weak productivity growth have held down
wages in developed countries "looks like a promising proposal. But it does
not hold water because the facts are:


Labor productivity-defined as output per hour-increased in the motor vehicle
manufacturing industry from 2000 to 2007, but declined from 2007 to 2009.
>From 2011 to 2014 the productivity increases every year at an average rate
of 2.75%. (The Bureau of Labor Statistics)


Secondly, let's take a look at productivity growth in construction. Measures
of labor productivity growth in three industries in construction: Single and
multiple family residential constructions from 1987 to 2011, and the
construction of highways, streets, and bridges from 2002 to 2011. These
data, which currently cover almost one quarter of construction output, show
no sign of any sustained productivity decline. (
<http://www.bls.gov/osmr/abstract/ec/ec140090.htm>
http://www.bls.gov/osmr/abstract/ec/ec140090.htm)


Thirdly, the U.S. shines in G.D.P per hour worked as a more accurate labor
productivity measure when compared with both the Western European and the
Asian countries except oil-rich Norway. (
<https://www.stlouisfed.org/on-the-economy/2015/march/how-should-labor-produ
ctivity-be-easured>
https://www.stlouisfed.org/on-the-economy/2015/march/how-should-labor-produc
tivity-be-easured )


The U.S. workers suffer so much hardship due to low and stagnant wages with
their productivity gain. That they feel the pain is because, while automated
production increases their productivity, capital pays them less as a result
of over-supply of labor power, i.e., increased unemployment or surplus
population.


 

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