What can be done to boost productivity growth?
The conclusions can be summarized as follows:The kind of innovation that traditionally powered productivity growth has slowed.
3The surge of productivity growth in the 1990s was fueled by a wave of computer investment, rapid growth in big-box retailing, and in parts of the finance industry.
The growth of business R&D helps U.S. long-run growth, but federal R&D support is important because it provides the main financing for basic research and scientific advancements.
These policies have been a serious mistake that must be reversed to foster stronger productivity growth in the future.