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WASHINGTON — The productivity of US workers and businesses fell more sharply in the first quarter of 2012 than originally estimated, as output was revised lower and hours worked rose slightly faster, the Labor Department said Wednesday.

Productivity dropped 0.9 percent in the first three months of the year, compared to an initial estimate of a 0.5 percent decline.

Economists surveyed by MarketWatch projected a revised 0.8 percent decrease.

Output — the amount of goods and services produced — was revised down to a 2.4 percent increase from 2.7 percent.

The increase in hours worked was revised up to 3.3 percent from 3.2 percent. As a result, unit labor costs climbed 1.3 percent in the first quarter instead of the two percent originally reported.

To read more, go to MarketWatch

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