If productivity growth were to remain relatively low, that would weigh on overall growth of the economy. Low growth of investment would naturally follow from low productivity growth, but it would not be the cause of weak growth of the overall economy. In any case, it’s hard to know exactly what productivity growth is likely to do in the future.
We need to reduce the relative excess of lesser-skilled workers and enhance the number of skilled workers by expediting the acquisition of skills by all students, both through formal education and on-the-job training. Although the long-run challenges confronting the U.S. economy are significant, I fully anticipate that they will ultimately be met and resolved.