1. Productivity growth measures increase in output per hour of work. Output per hour was 75.7 in the first quarter of 1973, 103.7 in the first quarter of 1996, and 132.8 in the first quarter of 2004 (1992 = 100). Calculate the average annual rates of productivity growth between 1973 and 1996 and between 1996 and 2004. Using your answers, explain during which of these two periods living standards rose more quickly.