Brookings Institution
To organize, structure, and synthesize research on the measurement of productivity
Between 1947 and 1973, U.S. productivity grew an average of nearly 3 percent per year. Since 2007, that rate has dropped to 1.3 percent. Since 2010, it has plummeted to 0.5 percent. China and India excepted, other countries around the world have experienced similar drops in productivity growth. Why? What is going on? This grant funds a project by a team led by Louise Sheiner at the Hutchins Center on Fiscal and Monetary Policy at the Brookings Institution to shed light on this “productivity puzzle.” Over the next two years, Brookings will conduct and commission original and rigorous research on productivity, engage with stakeholders at U.S. statistical agencies about the quality and limitations of existing productivity measurements, produce 10 to 12 peer reviewed papers, hold six conferences on this and related issues, produce a conference volume, and disseminate recommendations on how to improve research and statistics about economic productivity.