Barry — Productivity means output per hour. By comparable I mean it is in the same range as the U.S., sometimes higher, sometimes lower. Of course if they work fewer hours, they produce less GDP, but they also enjoy more leisure, a good not counted as part of GDP — my first point. On productivity, see my previous Pajamas column. Of course their benefits are a cost to their employer. Re: Birthrates, that’s a bit much for a comment section, but you have given me a good topic for another column. P.S., Peter Peterson is an hysterical loon. Cheers.
The burden sharing is another good topic. Naturally if there is consensus on defense goals, sharing is only right. It’s not clear from the U.S. side, however, how much sharing is desired, since that means less domination by the U.S. There seems to have been a long-standing lack of U.S. pressure for sharing, except in crisis periods when some sort of specific cooperation is demanded by the U.S.
Paris — I don’t have the #s at hand right now, but the U.S. advantage in R&D may be waning.
Cian’s point is germane to the birthrate issue. A trade surplus means more wealth accumulation, a factor that helps later on if there is a population issue.
