Industrial production is projected to increase modestly, reflecting a rise in demand at home and abroad, with the effects of the slowdown in emerging economies waning and those of the set of stimulus measures becoming evident.
But I have seen little direct evidence on the extent to which globalization may have boosted aggregate productivity growth in the United States in recent years. Nevertheless, research at the Board finds that multinational corporations, which may have the greater opportunities to realize efficiencies by shifting production locations, accounted for a disproportionate share of aggregate productivity growth in the late 1990s.