The United States economy is producing more goods and services with surprising efficiency, handing policymakers a welcome economic buffer but leaving analysts scrambling to explain exactly what is fueling the engine.
According to a research note released Friday by Morgan Stanley, third-quarter GDP data revealed a “surge” in nonfarm productivity growth to an annualized rate of 4.9%. This marks the second consecutive quarter of substantial gains, soaring well above the four-quarter average of just 1.9%.
