Labour in Britain today is no more productive than it was in 2007. Speculators blame anything from a slow economy, to excessive regulation, to pointing out that the power of the internet may not be so powerful after all. However, the author proposes that wealth is actually the culprit. More wealth makes measuring productivity by GDP less effective. Goes on to use examples that illustrate how complex the issue of productivity can actually be. Illustrates the ubiquity of service professions. Proposes that measuring gains in human welfare by GDP will become uncorrelated entirely.
- Productivity has always been vital to business performance at all levels. But computers have introduced a new way to measure productivity.
- Both employees and managers will appreciate the computer technology. That represents a major step forward for the business sector.
- Measuring productivity allows business leaders to take the first step. They can make sound decisions based off of good data.
“it’s striking how much high-talent manpower is devoted to activities that cannot possibly increase human welfare, but entail competition for the available economic pie.”