Productivity in the U.S. Services Sector: New Sources of Economic Growth

The services industrieswhich include jobs ranging from flipping hamburgers to providing investment advicecan no longer be characterized, as they have in the past, as a stagnant sector marked by low productivity growth. They have emerged as one of the most dynamic and innovative segments of the U.S. economy, now accounting for more than three-quarters of gross domestic product. During the 1990s, 19 million additional jobs were created in this sector, while growth was stagnant in the goods-produci

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