Standard real business cycle models must rely on total factor productivity (TFP) shocks to explain the observed …

This paper makes four points about the recent dynamics of productivity and potential output. First, after accelerating … in the mid-1990s, labor and total-factor productivity growth slowed after the early to mid 2000s. This slowdown preceded … the Great Recession. Second, in contrast to some informal commentary, productivity performance during the Great Recession …

, including capital, are used to produce a quarterly series on total factor productivity (TFP). In addition, the dataset …

U.S. labor and total-factor productivity growth slowed prior to the Great Recession. The timing rules explanations that …, consistent with a return to normal productivity growth after nearly a decade of exceptional IT-fueled gains. A calibrated growth … model suggests trend productivity growth has returned close to its 1973-1995 pace. Slower underlying productivity growth …