Productivity Growth Hurdles in Developing Economies

In a developing economy, the government has implemented a series of reforms aimed at enhancing productivity across various sectors. These reforms include investment in technology, education, and infrastructure. However, despite these efforts, the anticipated increases in overall productivity have not materialized as expected.

Analysts point to several factors that could influence productivity growth in this context. Additionally, some economists argue that productivity improvements are crucial for sustainable economic growth since they contribute to higher output without a corresponding increase in input costs.

Given this scenario, which of the following statements best describes a key factor that could hinder productivity growth in this developing economy?