Two interesting articles from the Knowledge@Wharton (free subscription) and the MIT Technology Review about:
– productivity growth in the last years
– the usage of IT as a competitive advantage.
Three short abstracts:
US labor productivity grew by:
– 1.4% from the 70s into the 90s
– 2.5% since 1995
– 4% since 2001.
It takes about 50 years for living standards to double if productivity grows at 1.4%, only 18 years to double at 4% growth.
A century ago, an exciting technology – electricity – was being introduced. by itself, electricity did nothing for productivity. It took 40 years for businesses to find out ways to use it efficiently and to change their processes.
