For the argument that much of the decrease in labor force participation would likely have occurred even in the absence of the  BIS central bankers’ speeches  3  have resulted from lower trend labor productivity due to reduced capital investment and “multifactor productivity,” which is often thought of as capturing the effects of technological innovation.
12 The employment rebound suggests that strong measures – such as those the Fed took during and after the crisis – can prevent even sharp job losses from becoming permanent. But the productivity slowdown suggests that monetary policy cannot, by itself, avert all of the damage. This consideration raises the question I mentioned a moment ago.