By Hidekatsu Asada and Patrick Lenain, South-East Asia Desk, OECD Economics Department Malaysia is enjoying remarkable economic growth. Real GDP grew at an average rate of 6.1% per year over 1970 to 2018 period, and short-term prospects are for growth to reach almost 5% in 2019-20, despite a difficult international environment. Thanks to pragmatic policies, … More Stronger productivity growth would put Malaysia on a path to become a high-income economy
by Nadim Ahmad, OECD Statistics and Data Directorate Labour productivity is a key indicator of economic wellbeing, and raising it – producing more goods and services from the same or less work (labour input) – is one of the main drivers of sustainable economic growth. Historically, comparisons of productivity across countries have shown substantial gaps, … More Statistical insights: Are international productivity gaps as large as we thought?
Rafał Kierzenkowski, Gabriel Machlica and Gabor Fulop, Economics Department. Labour productivity has flatlined since the global financial crisis, which contrasts with its recovery profiles from past recessions over the last decades (Figure 1). The productivity shortfall, defined as the gap between actual productivity and the level implied by its pre-crisis trend growth rate, reached nearly 20% … More The UK productivity puzzle through the magnifying glass: A sectoral perspective
By Yosuke Jin and Ben Westmore, Ireland Desk, OECD Economics Department. Irish GDP growth made headlines recently due to enormous upward revisions (e.g. + 25.6% for the sole year of 2015) related to the activities of a small group of multinationals. This raises the question of how much Irish productivity relies on multinational companies alone. … More Unblocking the productivity potential of local businesses in Ireland
By Hidekatsu Asada, Head of South East Asia Desk, Economics Department. Thailand has made commendable socio-economic progress since the 1970s and has set itself the goal of joining the group of high-income countries by 2036. To make that happen, the government has spelled out a Thailand 4.0 vision that involves a transformation to a more … More Thailand 4.0: boosting productivity
Antoine Goujard and Paula Garda, OECD Economics Department, Chile/Colombia desk Chile has been one of the fastest-growing economies in the OECD in recent decades. Sound macroeconomic management, bold structural reforms, such as trade and investment liberalisation, and buoyant natural-resource sectors, supported fast convergence in living standards (Panel A). However, progress has slowed: declining productivity gains … More Mind the gaps: boosting productivity and reducing inequality in Chile
by Patrice Ollivaud, Economist, Switzerland Desk, OECD Economics Department Switzerland is among the leaders in many global rankings including on R&D, innovation, infrastructure, universities and competitiveness. It is well integrated in global value chains, specialised in some high-value-added activities and home of many large multinationals. These factors should contribute to high, and rising, labour productivity. … More Switzerland’s productivity puzzle: Being a leader and an underperformer
by Dan Andrews, Müge Adalet McGowan and Valentine Millot, Productivity Workstream, OECD Economics Department Weak productivity growth is a major problem afflicting our societies. It curbs growth in incomes and endangers the sustainability of our social security systems. An important, but often ignored, source of the productivity slowdown is the increasing prevalence of weakly productive firms … More Zombie firms and weak productivity: what role for policy?
by Andrés Fuentes Hutfilter and Naomitsu Yashiro, Latvia Desk, OECD Economics Department Latvia’s economy is growing strongly. Driven by the recovery of exports and investment as well as strong private consumption, real GDP growth is expected to strengthen from 2% in 2016 to around 4% this year and next. Exporters have gained market shares. More disbursement … More Latvia: time to reboot inclusive productivity growth
by Andrew Barker, New Zealand Desk, OECD Economics Department Productivity growth will be the main driver of global economic growth and prosperity over the coming decades. For New Zealand, this represents both a challenge and an opportunity, as NZ productivity is below that of leading OECD countries (Figure 1). This problem is not new, and … More Lifting New Zealand’s game on productivity