Saturday, 6 February 2016

Do the figures matter?

The UK continues to languish behind the rest of the G7 in terms of its quoted productivity performance - yet my personal experience is that performance of the UK labour force has risen remarkable over the last few years.  This suggests that either I am mistaken (certainly a possibility as mine is only anecdotal evidence) or the official figures are in some way 'wrong'.

Official figures measures GDP per worker or per hour worked - but what happens to outsourced work.  Are those hours worked counted? Is that contribution to GDP counted? Do other countries count figures in the same way? Has anyone carried out any recent research into the compilation of these comparative figures?  How does a shift from manufacturing to services affect the figures?

Does this matter to you?

Yrs, because it affects the UK's economic position which has an impact on things like interest rates, credit standing and so on.  This can affect your profit!

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