Productivity dry spell looks worse in latest report

Marketwatch reports:

The dry spell of productivity in this economic expansion is even worse than previously thought, according to new data released Tuesday.

The average annual rate of productivity growth from 2007 to 2014 was revised down to 1.3% per year from the prior estimate of 1.4%, the Labor Department said Tuesday.

This is well below the long-term rate of 2.2% per year from 1947 to 2014.

Productivity in 2013 was especially weak, revised down to unchanged from the prior estimate of a 0.9% gain. Productivity even dipped below zero for three quarters in 2013. That hadn’t been seen since 1982.

The great moments of Keynesian economics.