[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"detail-sidebar-cat-0-en-105":3,"doc-seo-321995-105":59,"doc-detail-321995-en":130},{"code":4,"msg":5,"data":6},0,"success",[7,13,18,23,28,33,38,43,48,51,55],{"id":8,"doc_module":4,"doc_module_name":9,"category_name":10,"show_sort_weight":11,"slug":12},1,"Document","Story & Novel",90,"story-novel",{"id":14,"doc_module":4,"doc_module_name":9,"category_name":15,"show_sort_weight":16,"slug":17},2,"Literature",80,"literature",{"id":19,"doc_module":4,"doc_module_name":9,"category_name":20,"show_sort_weight":21,"slug":22},4,"Exam",70,"exam",{"id":24,"doc_module":4,"doc_module_name":9,"category_name":25,"show_sort_weight":26,"slug":27},5,"Comic",60,"comic",{"id":29,"doc_module":4,"doc_module_name":9,"category_name":30,"show_sort_weight":31,"slug":32},6,"Technology",50,"technology",{"id":34,"doc_module":4,"doc_module_name":9,"category_name":35,"show_sort_weight":36,"slug":37},7,"Healthcare",40,"healthcare",{"id":39,"doc_module":4,"doc_module_name":9,"category_name":40,"show_sort_weight":41,"slug":42},8,"Research & Report",30,"research-report",{"id":44,"doc_module":4,"doc_module_name":9,"category_name":45,"show_sort_weight":46,"slug":47},9,"Religion & Spirituality",20,"religion-spirituality",{"id":46,"doc_module":4,"doc_module_name":9,"category_name":49,"show_sort_weight":46,"slug":50},"World Cup","world-cup",{"id":52,"doc_module":4,"doc_module_name":9,"category_name":53,"show_sort_weight":52,"slug":54},10,"Lifestyle","lifestyle",{"id":56,"doc_module":4,"doc_module_name":9,"category_name":57,"show_sort_weight":24,"slug":58},19,"General","general",{"code":4,"msg":60,"data":61},"ok",{"site_id":62,"language":63,"slug":64,"title":65,"keywords":66,"description":67,"schema_data":68,"social_meta":123,"head_meta":125,"extra_data":127,"updated_unix":129},105,"en","productivity-measures-and-the-new-economy","Productivity Measures and the \"New Economy\"","","This economic commentary examines whether productivity growth has been underestimated due to measurement problems, focusing on how labor productivity is derived from real output and hours worked. It reviews claims that a “New Economy” has produced higher trend output growth with low inflation, then challenges that argument by analyzing productivity and productivity-measurement trends since the early 1970s. The text develops explanations for potential bias and evaluates each effect on output growth and inflation rates, emphasizing evidence gaps and the role of mismeasurement.",{"@graph":69,"@context":122},[70,84,105],{"@type":71,"itemListElement":72},"BreadcrumbList",[73,77,79,82],{"item":74,"name":75,"@type":76,"position":8},"https://docshare.wps.com","Home","ListItem",{"item":78,"name":9,"@type":76,"position":14},"https://docshare.wps.com/document/",{"item":80,"name":40,"@type":76,"position":81},"https://docshare.wps.com/document/research-report/",3,{"item":83,"name":65,"@type":76,"position":19},"https://docshare.wps.com/document/productivity-measures-and-the-new-economy/321995/",{"url":83,"name":65,"@type":85,"image":86,"author":91,"headline":65,"publisher":94,"fileFormat":97,"inLanguage":63,"description":67,"dateModified":98,"datePublished":99,"encodingFormat":97,"isAccessibleForFree":100,"interactionStatistic":101},"DigitalDocument",{"url":87,"@type":88,"width":89,"height":90},"https://docshare.wps.com/thumbnails/productivity-measures-and-the-new-economy/321995.png","ImageObject",300,407,{"name":92,"@type":93},"Sage","Person",{"url":74,"name":95,"@type":96},"DocShare","Organization","application/pdf","2026-11-03","2026-09-21",true,{"@type":102,"interactionType":103,"userInteractionCount":44},"InteractionCounter",{"@type":104},"ViewAction",{"@type":106,"mainEntity":107},"FAQPage",[108,114,118],{"name":109,"@type":110,"acceptedAnswer":111},"Why do some analysts argue a \"New Economy\" has emerged?","Question",{"text":112,"@type":113},"They claim trend output growth has accelerated beyond past experience and that measurement problems have masked signs of productivity acceleration.","Answer",{"name":115,"@type":110,"acceptedAnswer":116},"How is labor productivity measured in this discussion?",{"text":117,"@type":113},"Labor productivity is defined as real output per hour of work, requiring calculations that convert nominal GDP using a price index to obtain inflation-adjusted output.",{"name":119,"@type":110,"acceptedAnswer":120},"What is one source of potential error in measuring productivity discussed here?",{"text":121,"@type":113},"Nominal output (GDP) measurement, including the possibility that some nominal expenditures are not recorded, which is assessed via an income-based cross-check and related discrepancies.","https://schema.org",{"og:url":83,"og:type":124,"og:title":65,"og:site_name":95,"og:description":67},"article",{"robots":126,"canonical":83},"index,follow",{"doc_id":128,"site_id":62},321995,1790597028,{"code":4,"msg":5,"data":131},{"doc_id":128,"user_id":132,"nickname":92,"user_avatar":133,"doc_module":4,"category_id":39,"category_name":40,"doc_title":65,"doc_description":67,"doc_content":134,"file_id":135,"file_url":136,"file_type":137,"file_size":138,"view_count":44,"is_deleted":4,"is_public":8,"is_downloadable":8,"audit_status":8,"page_count":24,"language":139,"language_code":63,"site_id":62,"html_lang":63,"table_of_contents":140,"faqs":141,"seo_title":142,"seo_description":67,"update_tm":143,"read_time":144,"preview_page_count":4},687197207057,"https://ap-avatar.wpscdn.com/davatar_29158cc5080c5b710cf443261637dec0","by John B.Carlson and Mark E.Schweitzer  \n[T]wo broad trends,globalization andinformation technology,are underminingthe old order;,forcing business to restruc-ture.….These trends can combine inpowerfiu ways to raise Americans'stan-dard of living,create jobs,spur entrepre-neurial effort—and do all this withoutboosting inflation.To the believers in theNew EconOmywe have here the magicbuallet—away to return to the high-growth,low-inflation conditions of the1950s and 1960s.Forget 2%realgrowth.We're talking 3%,oreven 4%.1  \nStephen B.Shepard,editor-in-chiefBusiness Week  \nO.  \nptimism abounds.Just look at indi-cators like consumer sentiment and thestock market.The good feelings partlyreflect the persistent underlying strengthof the U.S.economy,which surprisedmany observers by expanding almost4 percent in the last 12 months.Over thepast two years,the economy grew at anaverage annua rate of more than 3.5 per-cent,clear evidence for Stephen Shepardthat a “\"New Economy\"is here.No econ-omy,however,can sustain a more rapidexpansion than this unless its workforcecontinues to growquickly or its workersbecome increasingly productive.Giventhat employment is expected to growaround l percent,Shepard's view impliesthat trend productivity growth must morethan double the 1.2 percent average rateit posted during the past 25 years.²  \nThe New Economy's detractors,thoughsurprised by the recent surge in eco-nomic activity,point to measures of pro-ductivity—most often labor productiv-ity,computed as the ratio of real output  \n# Productivity Measures and the\"New Economy\"\n\nto hours worked.³They note that overthe recent expansion,labor productivityhas not grown noticeably faster than itspost-1973 trend rate.Meanwhile,advo-cates like Mr.Shepard counter that ourways of measuring productivity under-state its true gains.  \nIt is quite likely that productivity hasbeen andcontinues to be understated.But so what?If the point is to explain theunusual combination of low inflation andhigh growth,then an appeal to mismea-sured productivity is no help at all.Cor-recting the measurement problem justmeans that inflation is even lower andgrowth even higher.  \nThe real question at hand is whethermismeasurement has masked an in-crease in trend output growth.Toanswer it,we must establish that meas-urement dfficulties are generating anever larger bias over time.This Eca-nomic Commentary carefully developsseveral possible explanations for theunderestimation of productivity growthin order to evaluate the effects of eachon output and inflation.  \n## ■ Measuring Productivity\n\nAlthough the concept of labor produc-tivity (real output per hour of work)issimple,the published number is theresult of some challenging calculations.6Measuring real output requires com-puting both the total dollar output in thedomestic economy(nominal GDP)anda corresponding price index to convertthe nominal measure to a real (that is,inflation-adjusted)value.?  \nThe U.S.economy's extraordinaryperformance in recent years has ledmany observers to claim we are wit-nessing a\"New Economy,\"in whichtrend output growth has acceleratedto a much higher rate than any wehave experienced over the past quar-ter century.They also argue thatmeasurement problems have maskedthe signs of productivity's accelera-tion.We find scant evidence to sup-port such claims.  \nConventional measures of nominal GDPtry to sum the value added of all busi-nesses and households,a calculation thatrequires collecting highly detailed infor-mation on diverse production processes.Real GDPis computed by dividing nom-inal GDPby prices,which are generallycollected using survey methods.  \nProductivity can be calculated for theaggregate economy or for particular sec-tors or industries.We have selected non-farm business sector productivity,themost widely cited measure.Earlier inthis decade,much attention was focusedon the fact that this measure's growthrate declined sometime around 1973.Between the second quarter of 1960 andthe third quarter of 1973,n","cbCairlYELfXHqRr","https://ap.wps.com/l/cbCairlYELfXHqRr","pdf",1365440,"English","# Productivity Measures and the \"New Economy\"\n## Measuring Productivity\n## Mismeasuring\n## Nominal Output","[{\"question\":\"Why do some analysts argue a \\\"New Economy\\\" has emerged?\",\"answer\":\"They claim trend output growth has accelerated beyond past experience and that measurement problems have masked signs of productivity acceleration.\"},{\"question\":\"How is labor productivity measured in this discussion?\",\"answer\":\"Labor productivity is defined as real output per hour of work, requiring calculations that convert nominal GDP using a price index to obtain inflation-adjusted output.\"},{\"question\":\"What is one source of potential error in measuring productivity discussed here?\",\"answer\":\"Nominal output (GDP) measurement, including the possibility that some nominal expenditures are not recorded, which is assessed via an income-based cross-check and related discrepancies.\"}]","Productivity Measures and the \"New Economy\" | PDF",1789960774,13]