5 percent in2009 takes place on the back of a 1

Global output per hour worked rose by 2.3percent in 2008, down from 3.7 percent in 2007. It is expected to slow furtherto 1.8 percent in 2009 the weakest productivity growth since 2001. Productivitygrowth across the 27-member European Union fell from 1.3 percent in 2007 tojust 0.2 percent in 2008 and is expected to come to a complete halt in 2009.The gloomy prediction comes a week before The Conference Board launches a new,monthly Euro Area Leading Economic Index, which will signal forthcoming peaksand troughs in the business cycle of the 16-nation bloc.The effects of the deteriorating world economy on productivity across emergingeconomies differed widely, depending on each country's exposure tointernational trade and global finance, dependence on natural resources andthe fiscal resources at the government's disposal. Brazil, for example,benefited from the commodity boom and improved export performance early in theyear and saw productivity growth increase from 2.3 percent to 3.7 percent. Incontrast, China's productivity growth fell from 12.1 percent to 7.7 percent asa result of a drop in exports and investment.U.S.

PRODUCTIVITY GROWTH GOES TOGETHER WITH JOB CUTSThe slow increase in output per hour in the United States at 0.5 percent in2009 takes place on the back of a 1.7 percent decline in GDP growth and a dropin total hours worked of 2.2 percent. Productivity is likely to recover in the second half of the year,providing an opportunity for improved competitiveness in U.S. Looking ahead, innovation remains a crucialtrigger for productivity recovery and growth."About The Conference BoardFor over 90 years, The Conference Board has created and disseminated knowledgeabout management and the marketplace to help businesses strengthen theirperformance and better serve society. The Conference Board operates as aglobal independent membership organization working in the public interest. Itpublishes information and analysis, makes economics-based forecasts andassesses trends, and facilitates learning by creating dynamic communities ofinterest that bring together seniorexecutives from around the world.

TheConference Board is a not-for-profit organization and holds 501(c)(3)tax-exempt status in the United States. For additional information about TheConference Board and how it can meet your needs, visit our website at About the European Area Leading Economic IndexOn 28 January, The Conference Board is launching a new, monthly LeadingEconomic Index for the Euro Area (the European single currency zone). Theindex, which signals forthcoming peaks and troughs in the business cycle ofthe 16-nation bloc roughly six months in advance, aggregates eight economicindicators measuring activity across the Euro Area as a whole. It complementsThe Conference Board's existing portfolio of global economic indicators,including LEIs for the US, UK, Germany, France, Spain, Japan, Korea, Mexicoand Australia. ) Cesar Delgado's 91st-minute winner in front of the kop last night may well have killed Liverpool's season as early asOct.