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Why Europe lags behind America in
 Productivity?




January 20, 2011
                                      Presented by
                                     Aditya Kumar Dixit
Contents

 Introduction
 GDP Per capita comparison
 Productivity
 Gap in Productivity
 Reasons for gap in productivity
 Possible Measures to reduce the gap
 References
Introduction



 Gross Domestic Product represents the
  total current market value of all goods and
  services produced within a country over
  the course of some time period.

 Productivity is measured as GDP per hour
  working.
GDP per capita Comparison




    $46442 US         $33052 US
Productivity
Gap in Productivity




 $11250 US in GDP per capita terms

 $6.4 US per hour ( Data 2007 OECD)
7
Reasons for gap



  Underperformance of service sector


  Inability to build upon ICT


  Market regulation
Reasons for gap
Measures to reduce the gap



           Injecting
                             Deregulation
          competition

                    Measures

    Reaping benefits         Emulate best
        of ICT                practices
  5/26/2012                                 10
References

Mckinsey Quarterly report October 2010

Europe’s productivity challenge :-
                         The Economist
Regulation, Allocative ,Efficiency and
 Productivity in OECD Countries :- by
         Jens Arnold, Giuseppe Nicoletti,
         Stefano Scarpetta
5/26/2012                                   11
References


 An article written by Ashley Seager in
 ‘The Guardian’

www.europa.eu




5/26/2012                                  12
THANKS
    HAVE A GOOD DAY

5/26/2012             13

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Why Europe lags behind America in Productivity

  • 1. Why Europe lags behind America in Productivity? January 20, 2011 Presented by Aditya Kumar Dixit
  • 2. Contents Introduction GDP Per capita comparison Productivity Gap in Productivity Reasons for gap in productivity Possible Measures to reduce the gap References
  • 3. Introduction Gross Domestic Product represents the total current market value of all goods and services produced within a country over the course of some time period. Productivity is measured as GDP per hour working.
  • 4. GDP per capita Comparison $46442 US $33052 US
  • 6. Gap in Productivity $11250 US in GDP per capita terms $6.4 US per hour ( Data 2007 OECD)
  • 7. 7
  • 8. Reasons for gap Underperformance of service sector Inability to build upon ICT Market regulation
  • 10. Measures to reduce the gap Injecting Deregulation competition Measures Reaping benefits Emulate best of ICT practices 5/26/2012 10
  • 11. References Mckinsey Quarterly report October 2010 Europe’s productivity challenge :- The Economist Regulation, Allocative ,Efficiency and Productivity in OECD Countries :- by Jens Arnold, Giuseppe Nicoletti, Stefano Scarpetta 5/26/2012 11
  • 12. References  An article written by Ashley Seager in ‘The Guardian’ www.europa.eu 5/26/2012 12
  • 13. THANKS HAVE A GOOD DAY 5/26/2012 13