The commonly accepted chronology for comparative productivity levels based on GDP data does not apply to the manufacturing sector, where there is evidence of a much greater degree of stationarity of comparative labour productivity performance among the major industrialized countries of Germany, the United Kingdom and the United States. These results for manufacturing suggest that convergence of GDP per worker must have occurred through trends in other sectors and through compositional effects of structural change. The persistent large labour productivity gap between the US and Europe cannot be explained simply by differences in capital per worker, but is related to technological choice.
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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number
708.
Find related papers by JEL classification: N10 - Economic History - - Macroeconomics and Monetary Economics; Growth and Fluctuations - - - General, International, or Comparative N60 - Economic History - - Manufacturing and Construction - - - General, International, or Comparative O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence O52 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Europe
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