2 years ago

An International perspective on the productivity paradox – by Alain ...

An International perspective on the productivity paradox – by Alain ...

Observed GDP per

Observed GDP per capitagap in 2009 (in %)70Based on comparative policy settings coveringmany areas NZL income should be higherObserved gap in GDP/capita relative to OECD average versus the gappredicted from various structural policies, 2009LUX5030USA10-10FRAGRCNORBEL SWEFINAUTESPIRLCHEISLDEUJPNDNKNLDCANITAGBRKORNZL-30PRT-50-40 -30 -20 -10 0 10 20 30Overall GDP per capita gap predicted by the framework (in %)Note: The predicted GDP per capita gap is computed on the basis of estimated impact of various structural policies (ex: productmarket regulation, labour protection legislation) from past OECD studies.Source: Barnes, S. et al. (2011), “The GDP Impact of Reform: A Simple Simulation Framework”, OECD Economics DepartmentWorking Papers, No. 834, OECD Publishing.

Outline of presentation• Nature of the productivity paradox• The direct contribution of physical and human capital• The role of knowledge-based capital and its growing importance as asource of productivity• The role of geographic distance and its impact through internationaltrade• Summing-up5

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