Labour productivity measures the output produced per worker or per hour worked. It reflects the efficiency of labour in the economy. Higher productivity indicates better use of resources. It can drive economic growth and improve living standards. Factors influencing productivity include technology, education, and working conditions. Understanding this concept is vital for developing effective economic policies and enhancing competitiveness.
For decades, economic policy has rested on a near-axiom: faster GDP growth will inevitably create more jobs. Higher output, it is assumed, requires more labour, even if productivity...
