The last hope for the American economy is an investment explosion unfolding in America

The dice turned: they spent more on computers than on desks

In line with inflation, non-residential private investment grew 7.4 percent in 2021 from the previous year — the fastest growth rate since 2012 and strong growth after a 5.3 percent decline in 2020, according to the Wall Street Journal.

Due to the viral situation in the first quarter of 2020 More and more people have to work remotely In the United States, so companies spent on software and computers rather than office maintenance: in 2021, they spent 14 percent more money on various information processing equipment compared to the previous year.

Business spending is likely to remain strong this year as well. Manufacturing companies surveyed by the Institute for Supply Management plan to increase investment spending by a nominal 7.7 percent in 2022. Service companies expect 10.3 percent growth.

The data shows that

Various investments have also increased the efficiency of the employees.

Productivity, which measures workers’ performance per hour worked, grew an average of 2.2 percent annually in 2020 and 2021, compared to an average of 0.9 percent between 2011 and 2019 before the pandemic.

Increased performance leads to a more productive economy that can produce more goods and services in the same number of hours – over time

It can increase workers’ wages without increasing inflation.

Modern technology is also becoming more and more popular among retail executives

Robert Rosner, chief economist at Morgan Stanley Multinational, says investment spending has started “It can significantly increase long-term economic development”.

According to Rosener, new technology investments can increase productivity, especially in areas where this has not been the focus until now – such as retail. About three-quarters of retail executives surveyed by Morgan Stanley last year plan to increase tech spending, up from 21 percent in 2019.

One of the reasons for the technology’s popularity is a lack of manpower, and managers are finding it hard to find an employee, and say it’s hard to retain. No wonder, of course, as Macron also reported that America dealt with the pandemic by distributing free money to residents to keep people in their homes, making it better than earning a living.

Brian Nicholl, CEO of Chipotle Mexican Grill Inc.’s burrito chain, told , investors in February that the company is having difficulty hiring, so

You’re thinking of automating more tedious tasks.

“How do we get rid of jobs that people don’t like to do?” Nicole asked, then continued. “It would be more pleasant for the workers if it was not necessary to cut the avocado into slices, only salted and mashed”.

What does the future hold?

According to research by university professors Jose Maria Barreiro, Nicholas Blum and Stephen Davis, some workers will continue to work from home after the pandemic subsides. According to their estimates after the epidemic

About 20 percent of the working days will be spent by employees at home,

Compared to 5 percent before the pandemic.

US Department of Labor measurement results show that telecommuting increases productivity by about 1 percent — in part because it saves workers from office distraction.

Today, of course, it is still difficult to predict how the prevalence of investment spending and telecommuting will affect workers’ long-term needs and productivity.

Cover photo: MTI / EPA / Tannen Maury