Yet it is not clear whether all economic sectors would benefit equally from such changes and, also, whether these changes in the ways of work could be implemented as easily in emerging economies that still rely more heavily on primary and secondary industries.6  And what about inflation?
Economists at a large global investment bank recently reviewed major ‘regime shifts’ in the inflation of key economies over the past century, and found that common drivers are a combination of supply-side constraints or reforms, exogenous shocks, fiscal issues and institutional changes.7 At present, central banks across the world remain, by and large, committed to inflation targeting, and when changes are being made to the framework, these are generally moderate and aim to correct durable undershoots of targets rather than to ‘shift the goalposts’.8 However, several of the potential influences on real economic growth I just mentioned could also alter inflation in the future.