Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
Display:
Thanks, these are both excellent points.  I have rarely focused on the GDP/employee level, but instead GDP/Capita.  I wonder why that is growing in the US, and if there is any implication resulting from that.  Your question may drive me back to reminding myself what is an employee (part time, full time)etc, etc, and just better understanding those figures.

The same is really true for me on the productivity numbers, in the sense of understanding what the numbers really mean, with this movement into service industries.  How does the productivity of the whole fiancial community figure into this--how do you measure an investment banker, a venture capitalist, individual private equity (angel investment) investors into this equation?  Unfortunately it will have to wait.

Do you have any comment on why if productivity is the same, US vs EU (and I agree that is statistically true), why the gdp per capita and per employee would be so much higher?  I think it's in the range of 15-20% higher, is it not?  Maybe it's American's moving into higher value jobs more quickly, like technology and the financial services?

by wchurchill on Sat Dec 2nd, 2006 at 01:29:18 PM EST
[ Parent ]
Look here and in the links provided - just be careful with Prescott (Blanchard's paper from my previous post criticizes exactly this argument of Prescott). Some excepts:

Per capita hours fell during 1970-2002 for most OECD countries and by over 20% in France; but they rose in several countries, and by fully 20% in the United States...

Two factors underlie the divergence between the United States and Europe since 1970 in hours worked per capita. First, hours worked per capita are influenced by the share of the population actually working, and the employment rate has increased more strongly in the United States than in most other OECD countries....

    Secondly, the length of the average work year has not declined as much since 1970 in the United States as it has in most European countries, including France and Germany. In fact, annual hours per employed person have remained more or less unchanged for US workers since 1980. By contrast, reductions in the length of the standard work week have continued in most other high-income countries, as have increases in annual days off for public holidays and vacation.

In short, Americans work more, both as a nation and as individuals. Not a big surprise they produce more.

by Sargon on Sun Dec 3rd, 2006 at 03:24:48 AM EST
[ Parent ]

Display:

Occasional Series