Extract D states: 'The UK’s persistent "productivity puzzle"—characterised by near-stagnant growth in output per hour worked since the 2008 financial crisis—remains a major barrier to sustained economic growth, competitiveness, and improvements in real wages.'
Explain two economic factors that may have contributed to this stagnation of labour productivity in an economy such as the UK's.
156 exam-style questions on AQA A Level Economics 1.4 Production, costs and revenue, covering 1.4.1 Production and productivity, 1.4.2 Specialisation, division of labour and exchange, 1.4.3 The law of diminishing returns and returns to scale (A-level only), 1.4.4 Costs of production, 1.4.5 Economies and diseconomies of scale, 1.4.6 Marginal, average and total revenue, 1.4.7 Profit, and 1.4.8 Technological change (A-level only). Each one has a worked solution and a mark scheme showing where the marks go.