agriculture declines while labor productivity increases in agriculture more than in other sectors. We construct a unified theory …

and capital are important for explaining procyclical productivity. Here I present two simple and direct tests of these …

Measured productivity is strongly procyclical. Real business cycle theories suggest that actual fluctuations in … productivity are the source of fluctuations in aggregate output. Keynesian theories maintain that fluctuations in aggregate output … to explain the procyclicality of productivity. If observed productivity shocks are true productivity shocks, a function …

using first-order approximations. In our estimated medium-scale DSGE model, a loss of confidence about productivity works …

intermediates contributes to total factor productivity in the production of final goods. The economy produces two such final goods …