INTERNATIONAL COMPARISONS

Many OECD nations, including Australia, experienced a slowdown in multifactor productivity growth during the 2001-2006 period when compared with the longer period of 1985-2006. In particular, Ireland, Italy, and New Zealand all experienced a considerable decline in productivity growth, with Italy and New Zealand both having negative growth in productivity in recent times (2001-2006).

In comparison, some OECD nations were able to increase multifactor productivity growth during the 2001-2006 period. These included Japan, Sweden, the United Kingdom and the United States, all of which experienced growth in productivity in the 2001-2006 period compared with the longer period 1985-2006.

No OECD nation experienced negative productivity growth during the extended period 1985-2006. This indicates the general trend of improving productivity in advanced economies.