Uneven technology adoption behind low productivity and wage growth – RBA research
High-productivity firms are reducing prices and increasing profits rather than boosting salaries
The uneven technology adoption among individual companies is creating ever more unequal productivity performances, which contributes to lower wage growth and labour’s shrinking share of income.
A research paper published by the Reserve Bank of Australia suggests an important part of the explanation may be found at the companies level, rather than at a macroeconomic level.
Uneven technology demand across firms within the same industry seems to harm wage growth. “High productivity firms would
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