US productivity dropped to its lowest level in 40 years

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US productivity dropped to its lowest level in 40 years
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US labor market productivity fell dramatically in the third quarter of the year, dropping to its lowest level in 40 years. It sounds terrible. But there are plenty of reasons it might not be a bad sign for the nation's economic outlook.

New York US labor market productivity fell dramatically in the third quarter of the year, dropping to its lowest level in 40 years.

That sounds terrible. But there are plenty of reasons it might not be a bad sign for the nation's economic outlook. To be sure, the recovery stumbled between July and September under the sudden threat of the Delta variant, which weighed down productivity. Worse, the supply chain chaos, which is yet to be resolved, held back production across various sectors.

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