1) Go the Bureau of Labor Statistics (BLS) page on the web. Particularly, go to the page on Quarterly Labor Productivity athttp://www.bls.gov/lpc(Links to an external site.)

to get the latest news release on the productivity of the U.S. economy.Pull the data for sectors out of the press release (i.e. for manufacturing) and rank them highest to lowest growth rates according to the latest quarter. Does any of the ranking make sense to you? Why or why not?

2) Technological change is an important driver of economic growth.Find a story about a recent innovation in the news. How will this innovation affect the U.S. production possibilities frontier (PPF)?Be sure to explain the PPF in your answer. Does it seem likely to affect employment as well? If so which type of workers will be harmed, and which will benefit.

3) Explain the concept of "creative destruction" and the economist who originated the term. Why is creative destruction important to increases in productivity.

4) Why is research and development so important to increasing a nation's productivity. Moreover why should government step in and fund research and development? Is it a public good? Explain.