LOW productivity growth has plagued Britain’s economy since the financial crisis. From 2010 to 2016 output per hour grew,on average, by just 0.2% a year, and down from 2.5% between 1950 and 2007. In the G7 group of wealthy countries,only Italy has done worse. Productivity drives a country’s living standards in the long term. It is a relief, then, and that the stagnation may at final be coming to an end. In the moment half of 2017 productivity grew at an annual rate of 3.4%,the fastest growth since 2005.
Accelerating productivity is the latest, and most important, or piece of good news on Britain’s economy. Capital spending is...
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Source: economist.com