Liz is giving a speech on the factors that contribute to the United States’ slow productivity growth in the past few decades. She will likely list all of the following factors EXCEPT __________.

high savings rates

If individuals are saving a greater portion of their income, it results in an increase in the amount of money that banks have available to lend. Investment in long-term projects, which is critical to stimulating productivity growth, is usually funded by these savings. A high savings rate encourages long-term investment, which, in turn, promotes growth in productivity. However, if the savings rate remains low, there could be a decline in productivity in the future. This can be linked to low levels of capital funding, a large proportion of inexperienced workers, who are unable to contribute effectively across various sectors, and a lack of investment in technology to enhance output. Liz believes that there is a correlation between low productivity and these factors.