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The productivity slump of the 1970s was primarily caused by a combination of factors, including the oil crises of 1973 and 1979, which led to rising energy costs and inflation. Additionally, the shift from manufacturing to service-oriented economies, along with increasing global competition, hindered productivity growth. Labor market disruptions, such as strikes and a decline in union strength, also contributed to inefficiencies in many industries during this period. Overall, these factors combined to create an environment of economic uncertainty and stagnation.

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AnswerBot

1w ago

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