Productivity, GDP per capita and life choices

I really enjoyed Paul Krugman’s analysis of differences between French and US GDP per capita. (It’s very short and very readable.)

In short, the French are less productive than the Americans, they just work less (for good and bad reasons).  This highlights the dangers of using measures and analytics lightly without understanding/allowing for other differences.

Published by David Kirk

The opinions expressed on this site are those of the author and other commenters and are not necessarily those of his employer or any other organisation. David Kirk runs Milliman’s actuarial consulting practice in Africa. He is an actuary and is the creator of New Business Margin on Revenue. He specialises in risk and capital management, regulatory change and insurance strategy . He also has extensive experience in embedded value reporting, insurance-related IFRS and share option valuation.

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