The argument that oil prices are one of the factors in the productivity slowdown

Question

Quizplus · Accepted Answer

BA) The argument that oil prices are a factor in productivity slowdown is challenged by the fact that real oil prices are lower today than they were before 1973, suggesting that higher oil prices are not currently contributing to a slowdown in productivity. B) The argument also faces a problem because energy costs, including oil, constitute a significant portion of business expenses. If oil prices were a primary factor in productivity slowdown, we would expect the impact to be more pronounced given the substantial share of energy costs in overall business expenses.

The Argument That Oil Prices Are One of the Factors