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Aggregate labor productivity

Author

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  • Michael C. Burda

    (Humboldt University Berlin, and IZA, Germany)

Abstract

Aggregate labor productivity is a central indicator of an economy’s economic development and a wellspring of living standards. Somewhat controversially, many macroeconomists see productivity as a primary driver of fluctuations in economic activity along the business cycle. In some countries, the cyclical behavior of labor productivity seems to have changed. In the past 20–30 years, the US has become markedly less procyclical, while the rest of the OECD has not changed or productivity has become even more procyclical. Finding a cogent and coherent explanation of these developments is challenging.

Suggested Citation

  • Michael C. Burda, 2018. "Aggregate labor productivity," IZA World of Labor, Institute of Labor Economics (IZA), pages 435-435, April.
  • Handle: RePEc:iza:izawol:journl:y:2018:n:435
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    aggregate productivity; labor utilization; labor hoarding; collective bargaining;
    All these keywords.

    JEL classification:

    • E - Macroeconomics and Monetary Economics
    • J - Labor and Demographic Economics
    • P - Economic Systems

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