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Retrospective on the 1970s Productivity Slowdown

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Author Info
William Nordhaus

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Abstract

The present study analyzes the "productivity slowdown" of the 1970s. The study also develops a new data set -- industrial data available back to 1948 -- as well as a new set of tools for decomposing changes in productivity growth. The major result of this study is that the productivity slowdown of the 1970s has survived three decades of scrutiny, conceptual refinements, and data revisions. The slowdown was primarily centered in those sectors that were most energy-intensive, were hardest hit by the energy shocks of the 1970s, and therefore had large output declines. In a sense, the energy shocks were the earthquake, and the industries with the largest slowdown were near the epicenter of the tectonic shifts in the economy.

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Publisher Info
Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 10950.

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Date of creation: Dec 2004
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Handle: RePEc:nbr:nberwo:10950

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Find related papers by JEL classification:
O4 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
E1 - Macroeconomics and Monetary Economics - - General Aggregative Models

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  1. Jim Malley & Ulrich Woitek, 2009. "Technology Shocks and Aggregate Fluctuations in an Estimated Hybrid RBC Model," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
    Other versions:
  2. John W. Dawson & John J. Seater, 2009. "Federal Regulation and Aggregate Economic Growth," Working Papers 09-02, Department of Economics, Appalachian State University. [Downloadable!]
  3. Ian Keay, 2008. "Resource Intensive Production and Aggregate Economic Performance," Working Papers 1176, Queen's University, Department of Economics. [Downloadable!]
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This page was last updated on 2009-12-1.


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