The annual growth of productivity in the British economy increased by only 0.8% in 2005 the slowest growth since the recession year of 1990. There are many reasons for this sluggish growth of productivity. Part of the reason was the slowdown in growth in 2005 because output and output per worker tend to be positively correlated. In an economy where demand and output is weaker, people in work are not being used as intensively compared to when the economy is stronger. Deeper-rooted explanations for weak productivity performance focus on supply-side deficiencies. These include the effects of skills gaps in industry; and the transfer of the economy's resources into the public sector where productivity is lower. Other factors contributing to sluggish productivity growth include the effects of business red tape and a persistently low rate of spending on research and development.Low productivity growth means that little progress has been made in reducing the productivity gap that exists between the UK and most of her major competitors.
How economies grow. Analysis of supply side factors: Output per worker, the movement of services to the the less efficient public sector, skills gap, red tape, low spending on R&D, quality and quantity of labour supply, low productivity growth in workforce, innovation
Unions have suppressed wage differentials in the public sector. They have extracted excellent benefits for their members. And they have protected underperforming workers from being sacked.
In September, President Castro announced plans to lay off around up to a million state employees - about a fifth of the workforce - and encourage them to find work in the private sector.
the UNDP says poverty is not inevitable. In the last 30 years, life expectancy in poor countries has risen by eight years, and illiteracy has been halved.
countries have recently begun to get poorer.
African countries will not vanquish poverty until 2165,
many children growing up in very poor families with low social status experience unhealthy levels of stress hormones, which impair their neural development
That’s not surprising. Growing up in poverty puts you at a disadvantage at every step. I’d bracket those new studies on brain development in early childhood with a study from the National Center for Education Statistics, which tracked a group of students who were in eighth grade in 1988. The study found, roughly speaking, that in modern America parental status trumps ability: students who did very well on a standardized test but came from low-status families were slightly less likely to get through college than students who tested poorly but had well-off parents.None of this is inevitable. Poverty rates are much lower in most European countries than i
came into office in 1997 made reducing poverty a priority — and despite some setbacks, its program of income subsidies and other aid has achieved a great deal. Child poverty, in particular, has been cut in half by the measure that corresponds most closely to the U.S. definition. At the moment it’s hard to imagine anything comparable happening in this country. To their credit — and to the credit of John Edwards, who goaded them
dest in scope and far from central to their campaigns.I’m not blaming them for that; if a progressive wins this election, it will be by promising to ease the anxiety of the middle class rather than aiding the poor. And for a variety of reasons, health care, not poverty, should be the first priority of a Democratic administration.
he nation turns back to the task it abandoned — that of ending the poverty that still poisons so many American lives.
the alleged abuses of welfare queens driving Cadillacs, and the fight against poverty was largely abandoned.In 2006, 17.4 percent of children in America lived below the poverty line, substantially more than in 1969. And even this measure probably unders
as always been a form of exile, of being cut off from the larger society. But the distance between the poor and the rest of us is much greater than it was 40 years ago, because most American incomes have risen in real terms while the official poverty line has not. To be poor in America today, even more than in the past, is to be an outcast in your own country. And that, the neuroscientists tell us, is what poisons a child’s brain.
failure to make progress in reducing poverty, especially among children, should provoke a lot of soul-searching. Unfortunately, what it often seems to
Some of these excuses take the form of assertions that America’s poor really aren’t all that poor — a claim that always has me wondering whether those making it watched an
eativity in making excuses.
an city. Mainly, however, excuses for poverty involve the assertion that the United States is a land of opportunity, a place where people can start out poor, work hard and become rich.But the fact of the matter is that Horatio Al
dren growing up in very poor families with low social status experience unhealthy levels