It’s usually a part of Austrian theory that worker productivity increases when the ‘capital per capita’ of the economy increases. There is nothing to be discussed about it. But does anybody have statistical sources on the ‘capital per capita’ for various countries in the world? It helps me convince people better when I show them numbers.
Really quick reply.
You are right that it is typically argued that output per worker will typically increase as capital per worker increases. However this relationship does not always hold true. This is because there are decreasing returns to capital. Think about it this way. If you give a construction worker a shovel, he will be able to dig holes more effectively than if he was just using his hands (capital per worker increases, output per worker increases). However, what happens if you give him two shovels? His output probably won’t increase by much. If you give him three shovels, there will prob be no incremental increase in output per worker (he’s only got two hands!).
Make sense? And you should realize this is not an “Austrian” thing. Read up on the neoclassical growth model if you got time.
http://en.wikipedia.org/wiki/Exogenous_growth_model
And what do you want to do with the data you’re asking for? I think the concept is pretty apparent without it. Welp off to watch Fringe!
That would require a whole new government department to calculate.