Bureau of Labor Statistics

Historical, technical

information: (202) 523-9261

Media contact: (202) 523-1913

United States .4.

Department •

of Labor ~ .

Washington, D.C. 20212

USDL 87-436

For' Release 10:00 AM EDT

0ctober 13, 1987

MULTI FACTOR PRODUCTIVITY MEASURES, 1986

Private Business, Private Nonfarm Business, and Manufacturing

The Bureau of Labor Statistics of the U.S. Department of Labor

today reported multifactor productivitv measures--output per unit of

combined labor and capital--for 19R6. Multifactor productivity

increased from 1985 to 1QR6 at the following ratps:

1.2. percent in private business, matching the

increase in 1985 and marking the fourth

consecutive annual increase,

0.9 percent in private nonfarm business, a

slight acceleration over 1985 and also the

fourth consecutive increase and

3.1 percent in manufacturing, exceeding 3 percent

for the fourth consecutive year.

The 1986 annual changes are summarized in table A; further detail and

historical measures are shown in tables 1 through 6.

The change in multifactor productivity reflects the difference

between the change in output (production of goods and services) and

the change in labor and capital services en~a~ed in the production of

the output. It measures the change in output due to factors other

than capital and labor services. Some of these factors are new

technology, economies of scale, cnanp,es in the composition of labor

input (as measured by education and experience), capacity utilization

rates, and changes in the organization of production.
-2-

Table A. Productivity indexes and related measures

Percent change from 1985 to 198n

Item

Productivity:

Output per hour of all persons •••••••

Output per unit of capital services ••

Multifactor productivity II .

Outpu t .....••.•.•••..••••••..•..•••••..

Inpu ts:

Hours of all persons •••••••••••.•••••

Capital services •••••••••••••••••••••

Combined units of labor and

capital input 11 ...........•..•..•.

Capital services per hour of

all persons (capital-labor ratio) ••••

Private

hus ines s 1./

1 .9

0.1

1 .2

:L3

1 .4

3.2

2.0

1 .8

Private

nonf arm

bus iness 1./

1 .n

- 0.3

0.9

3.2

1 .5

3.J

2.2

1 .9

H anufacturing

3.7

1 .6

3 .1

2.8

-0.9

1.2

-0.3

2 .1

1 I

21

~j

Excludes government enterprises.

Output per unit of combined labor and capital input.

Hours of all persons combined with capital service input

labor and capital shares.

Private business sector

index, weighted by

Multifactor productivity increased 1.2 percent in 1986 in private

business, matching the'increase in 1985 and marking the fourth

consecutive annual increase (table 4). The 1986 increase resulted from

a 3.3 percent increase in output and a 2.0 percent increase in combined

labor and capital inputs. Separately, hours (labor input) grew 1 .4

percent and capital services grew 3.2 percent from 1985 to 1986.

Labor productivity (output per hour of all persons) grew 1 .9

percent from 1985 to 1986 in private bus iness.

Capital productivity (the ratio of output to capital services)

changed only slightly, increasing 0.1 percent in 1986. The ratio of

capital services to hours (capital-labor ratio) increased 1.8 percent

in 1986, about the same increase recorded in 1985 (1.9 percent).
-3-

Private nonfarm business

Multifactor productivity grew 0.9 percent in 1986 in private

nonfarm business. This was a slight acceleration over the 1985 rate

of 0.5 percent and, as in the more comprehensive private business

sector, was the fourth consecutive annual increase (table 5). Output

in private nonfarm business increased 3.2 percent, and combined labor

and capital inputs grew at a 2.2 percent rate. Total hours increased

1 .5 percent in 1986, compared with a 2.4 percent "increase in 1985.

Capital services grew at a 3.5 percent annual rate in 1986, less than

the 4.3 percent increase in 1985.

The increases in output and hours resul ted in an 1.6 percent

increase in labor productivity in 1986. Capital productivity fell at

an annual rate of 0.3 percent in 19R6 compared with a decrease of 0.6

percent in the preceding year.

The increase in the ratio of capital services to hours was 1.9

percent in 1986, about the same @s the 1.8 percent increase in 1985.

Manufacturing

In 1986, multlfactor productivity in manufacturing grew 3.1

percent, the fourth consecutive annual increase. In all 4 years,

multifactor productivity growth exceeded 3.0 percent (table 6). The

gain in 1986 resul ted from a 2.8 percent increase in the output of

g.oods and a decrease of 0.3 percent in combined labor and capital

services. Labor hours declined 0.9 percent in 1986, close to the 1985

decrease of 0.8 percent. This is the fifth year that hours have

decl ined since 1979. Capi tal services increased 1.2 percent in 1986

compared with a 2.1 percent increase the previous year.

Labor productivity in manufacturing increased 3.7 percent in

1986. This was the seventh consecutive yearly increase and the fourth

consecutive ~ain greater than 3.0 percent.

Capital productivity rose 1.6 percent in 1986 compared with 2.2

percent in the previous year. The ratio of capital services to hours

increased 2.1 percent in 1986.
- 4-

Long- term trends

From 1948 to 1986, multifactor proriuctivity grew at an average

annual rate of 1.4 percent in private husiness; 1.1 percent in private

'l1onfann business; and 1.9 percent in manufacturing (table B). These

long-term rates reflect the difference between the Average annual rate

of change in labor productivity (output per hour) and the average

annual contribution of capital intensity. Hence, the 1.4 percent rate

of growth between 1Q48 and 1986 in multifactor productivity in private

business equals the 2.3 percent growth in labor productivity minus the

0.9 percent growth in the contribution of capital intensity. The

la t ter equal s the chang e in the cap i tal-labor rat io mul t ipl ied by

cap ita l' s sh are 0 f tot a1 in come ; his tor i,call y , cap ita 1's sh are has

been approx imately one- th ird of income.

The magnitude of the well-known post-1973 productivity slowdown

is readily apparent in these data. From 1948 to 1973, multifactor

productivity grew at an average annual -rate of 2.0 percent in private

husiness. Coupled with a 0.9 percent avera.ge annual contribution of

capital intensity, this resulted in an annual rate of growth of labor

productivity of 2.9 percent per year.

From 1973 to 1979, gains in multifactor productivity slowed to

only 0.1 percent per year. At the same time, the average annual

con tr ibut ion of' cap i tal intens i ty decreas ed to 0.5 percent. Labor

productivity th~refore increased only 0.6 percent per year from 1973

to 1979 in private business. In private nonfarm business, a similar

slowdown occurred after 1973.

I n manufacturing, the slowdown was' less severe than for private

business and p~ivate nonfarm husiness. From 1948 to 1973, multifactor

productivity increased at an average annual rate of 2.0 percent. The

average annual contribution of capital ,intensity was 0.8 percent, and

labor productivity increased 2.7 percent per year. From 1973 to 1979,

multifactor productivity grew at an annual ra.te of only 0.5 percent.

However, the contribution of capital intensity did not fall as it had

in the overall bus iness sectors, but remained about constant at 0.9

percent per year. This steady contribution of capital intensity

helped prevent productivity growth in manufacturing from decreasing as

much as it did in the more aggregate sectors.

From 1979 to 1986, a complete recovery of productivity growth

occurred in manufacturing while only a part:;ial recovery occurred in

private business and private nonfarm business. In manufacturing,

multifactor productivity increased 2./1 percent per year and labor

productivity 3.5 percent per year. On the other hand, multifactor

productivity grew only 0.5 percent per year in private business and

0.3 percent per year in private nonfarm business curing this period.

As a result, from 1979 to 1986, labor productivity growth in these two

sectors remained below the pre-1973 rates though it increased from the

low 1973-79 rates.
-5-

Table B. Canpoundan1lllRlrates of growth in output per hour of all

persons, the contribution of capital intensity, and mllitifactor

productivity, by major sector, 194R to 198F.

Heasure 19~- 194R- 1973- 1979-

19R6 1973 1979 19R6

Private business 1/

Output per hour of all persons 2.3 2.9 0.6 1.4

Contribution of capital intensity 2/ 0.9 0.9 0.5 0.9

Hultifactor productivity 1/ 1.4 2.0 0.1 0.5

Private nonfann business 1.1

Output per hour of all persons 1.9 2.5 0.5 1.2

Contribution of capital intens ity ']j 0.8 0.8 0.6 0.9

Multifactor productivity 1/ 1.1 1.7 -0.1 0.3

Ma.oofacturi~

Output per hour of all persons 2.7 2.8 1.4 3.5

Contribution of capital intensity 2/ 0.8 0.8 0.9 0.9

. -

~1ultifactor productivity 3/ 1 .9 2.0 0.5 2.F. . -

1/ Excludes governnent enterprises.

2/ Cha~e in capital services per hour tiInes capital's share of current dollar

output.

1I Output per unit of canbined labor and capital input.

Source: Tables 1-3.
-nSummary of Met~ods

The folloHin,£ note> descrihes t~e major data sources and the

procedures used in deriving ~LS multifactor productivity indexes.

More detRiled information on the methods, limitations, and data

sources is in BLS Rulletin 217R., "Trends in ~1ultifactor Productivity,

194~-81."

The T''l1lltifactor productivity indexes are derived by dividing an

output index by An input index which is a weighted average of the

hours of all persons and capital services. The output indexes are

computed from measures of constant dollar p-ross domestic product,

derive~ from the national income and product accounts developed by the

Bureau of Economic Analysis of the U.S. Department of Commerce.

The capital input series measures the services de>rived from the

stock of physical assets. The assets included are fixed business

equ ipmen t, s truc tur es, inventor ies , and land. Struc tures include

nonresidential structures and residential capital which is rented out

by profit-making firms or persons. Financial assets are excluded as

are owner-occupied residential structures. The a~?regate capital

measures are obtaine>d by weighting each asset type by its respective

rental price.

The labor, and capital components of the input indexes are

combined with weights which represent each component's share of total

output. The index .uses changing weights where the share in each year

is averaged with the preceding year's value.

Data are presented for the private husiness, private nonfarm

bus ines s , and manufac tu ring sec tor s. The pri va te bus ines s sector,

which accounts for about 80 percent of the gross national product,

includes all activities in the economy with the exception of general

government, government enterprises, the rest-of-the world sector,

owner-occupied housing, nonprofit institutions, private household

employees, and the statistical discrepancy. The private nonfarm

business sector also excludes farms but includes agricultural

services.

These multifactor productivity measures describe the relationship

between output in real terms and the paid labor time and capital

services involved in its production. They do not measure the specific

contributions of labor, capital, or any other factor of production.

Rather, they reflect the joint effects of many influences, including

changes in technology; level of output; utilization of capacity,

energy, and materials; the organization of production; managerial

skill; and the characteristics and effort of the work force.
Teble 1. Prlyete Buslne" Sector: ProductlYlty end Related ~eesur.,. 19&8-86 III

ProductlYlty Inputs

Yeer Output per Output per MuIt Itector Output Hour, of Cepltel COIIlbIneel unIts -Cepltel per

hour of ai' unIt of product IyIty AII Per SO," of labor and hour of

persons ceplte' 121 131 141 (5' Ceplte' Inputsl6 J e I I persQns

Indelles 1977~100

1948 46.5 97.0 60.4 38.1 81.8 39.2 63.1 48.0

1949 47.1 93.0 59.9 37.2 79.0 40.0 62.0 50.6

1950 51.1 98.9 64.6 40.8 79.9 41.2 63.2 51.6

1951 53.2 101.5 66.9 43.7 82.2 43.0 65.4 52.4

1952 54.9 101.8 68.3 45.1 82.1 44.3 66.0 53.9

1953 56.9 103.9 70.5 47.2 82.9 45.4 67.0 54.8

1954 57.9 100.2 70.4 46.4 80.1 46.3 65.9 57.8

1955 59.7 103.8 72.7 49.6 83.1 47.8 68.3 57.5

1956 60.5 103.0 73.1 51.1 84.4 49.6 69.8 58.7

1957 62.1 101.3 74.0 51.6 83.1 50.9 69.8 61.3

1958 64.0 97.7 74.5 50.6 79.1 51.8 68.0 65.5

1959 66.2 102.8 77.5 54.~ 82.1 52.9 70.2 64.4

1960 67.3 102.1 78.1 ".3 82.2 54.2 70.8 65.9

1"- 1961 69.7 102.0 79.9 56.3 80.8 55.2 70.5 68.4

1962 72.3 104.6 82.5 59.3 82.1 56.7 71.9 69.1

1963 75.2 106.3 85.1 62.0 82.5 58.3 72.9 70.7

1964 78.4 109.2 88.3 65.8 83.8 60.2 74.5 71.9

1965 80.8 '111.3 90.6 69.9 86.5 62.8 77.2 72.6

1966 82.9 111.3 92.1 73.5 88.6 66.0 79.8 74.5

1967 85.2 108.8 92.9 75.4 88.5 69.4 81.2 78.3

1968 87.6 108.9 94.6 78.8 90.0 72.4 83.4 80.4

1969 87.7 107.1 94.0 81.0 92,4 75.6 86.1 81.9

1970 88.4 101.9 92.9 80.2 90.8 78.7 86.3 86.7

1971 91.3 101.2 94.6 82.4 90.3 81.5 87.1 90.2

1972 94.0 103.8 97,4 87.7 93.2 84.4 90.0 90.6

1973 95.9 105.3 99.1 9'.0 96.9 88.3 93.8 91.1

1974 93.8 98.7 95.6 91.2 97.2 92.4 95.5 95.0

1975 95.7 93.8 95.0 89.3. 93.2 95.1 93.9 102.1

1976 98.4 97.2 98.0 94.5 96.1 97.2 96.5 101.2

1977 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

1978 100.8 102.0 101.2 105.8 105.0 103.8 104.5 98.8

1979 99.5 99.9 99.7 107.9 108.4 108.0 108.2 99.7

1980 99.2 94.2 97.4 106.6 107.5 113.1 109.4 105.3

1981 100.6 92.4 97.7 108.9 108.2 117.8 111.5 108.8

1982 100.3 86.7 95.' 105.4 105.2 121.7 110.7 115.7

1983 103.1 88.4 97.7 109.9 106.7 124.4 112.6 116.6

1984 105.7 92.8 101.0 119.2 112.8 128.5 118.1 113.9

1985 107.6 92.8 102.2 124.0 115.2 "3.6 121.3 116.0

1986 109.7 92.8 103.4 128.1 116.8 138.0 123.8 118.2

See Footnotes FollowIng Table 6. October 13. 1987

SOURCE:Bureau of LeboI' Stetlstlcs
Table 2. Private Nonfarm Business Sector: Productivity and Related Measures. 1948-86 III

Product Iv Ity Inputs

Yeer Output per Output per MuIt Ifactor Output Hours of Capital COlIlblnedunits CapItal per

hour of all unit of product Ivl ty al I persons of labor and hour of

persons capital 121 131 141 151 capital Inputsl61 al I persons

Indexes 1977-100

1948 52.6 99.0 65.7 36.9 70.2 37.3 56.2 53.2

1949 53.6 94.9 65.5 36.1 67.3 38.0 55.1 56.5

1950 57.1 100.9 69.8 39.7 69.4 39.3 56.8 56.6

1951 58.9 103.9 71.9 42.8 72.6 41.2 59.5 56.7

1952 60.3 104.0 73.0 44.1 73.2 42.4 60.5 57.9

1953 61.6 106.0 74.5 46.2 75.1 43.6 62.0 58.1

1954 62.5 102.0 74.3 45.3 72.4 44.4 61.0 61.3

1955 64.4 105.7 76.7 48.6 75.4 46.0 63.4 61.0

1956 64.8 104.9 76.8 SO.1 77.3 47.8 65.3 61.8

1957 66.1 103.2 77.3 50.8 76.8 49.2 65.7 64.0

1958 67.7 99.3 77.5 49.7 73.4 50.1 64.1 68.2

1959 69.9 104.7 80.6 53.6 76.6 51.2 66.4 66.8

1960 70.7 103.6 eO.9 54.4 77.0 52.5 67.3 68.2

1961 73.0 103.4 82.5 55.5 76.1 53.7 67.3 70.6

1962 75.4 106.1 85.0 58.6 77.7 55.2 68.9 71.1

1963 78.1 107.8 87.5 61.3 78.5 56.9 70.1 72.5

1964 81.2 110.9 90.6 65.2 80.3 58.8 72.0 73.2

1965 83.3 112.9 92.6 69.4 83.3 61.5 74.9 73.8

1966 85.0 113.1 93.9 73.3 86.3 64.8 78.0 75.1

1967 86.9 110.2 94.4 75.1 86.4 68.2 79.6 78.8

1968 89.3 110.5 f

96.1 78.7 88.1 71.2 81.9 eo.8

1969 88.9 108.3 95.1 eo.8 90.9 74.6 84.9 82.0

1970 89.2 102.8 93.7 79.9 89.6 77.8 85.3 86.8

1971 91.9 101.8 95.2 82.1 89.3 80.6 86.2 90.3

1972 94.7 104.5 97.9 87.4 92.3 83.6 89.3 90.6

1973 96.4 106.0 99.6 92.9 96.3 87.6 93.3 91.0

1974 94.3 99.2 96.0 91.1 96.6 91.9 .95.0 95.1

1975 96.0 93.8 95.3 88.9 92.6 94.8 93.4 102.4

1976 98.5 97.3 98.1 94••• 95.8 97.0 96.2 101.3

1977 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

1978 100.8 101.9 101.2 106.0 105.1 104.0 104.7 98.9

1979 99.2 99.0 99.1 107.9 108.8 109.0 108.9 100.1

1980 98.7 93.4 96.9 106.6 108.0 114.1 110.0 105.6

1981 99.6 91.1 96.7 108.4 108.8 119.0 112.2 109.4

1982 99.1 8'.1 94.1 104.8 105.7 123.2 111.4 116.5

1983 102.5 87.3 97.0· 110.1 107.4 126.1 113.5 117.4

1984 104.7 91.3 99.9 119.3 114.0 130.6 119.4 114.6

1985 10'.9 90.8 100.5 123.7 116.8 136.3 123.1 116.7

1986 107.6 90.5 101.4 127.6 118.5 141.0 125.8 119.0

See Footnotes Following Table 6. October 13. 1987

SOURCE:Bure•• of Labor Statistics

>,

':0

..
_.

'. 1···.·

Table 3. Manufacturing Sector: Productlylty and Related ~ures, 1948-86

.. Product IyIty Inputs

y..,. Out,ut per Output per MuIt ItllCtor Output Hours of Capital eo.bl ned un'1'a Capital per

holt,. of 41I unl t of prClductlylty al I persons of labor and hour of

per_s capital (21 DI (41 151 capita' Inputsl6J all persons

Indexes 1977-100

1948 46.6 105.0 59.3 :51.0 79.4 35.2 62.3 44.4

1949 48.5 98.5 59.7 35.1 72.4 35.6 58.8 49.2

1950 51.1 109.0 64.0 40.0 78.2 36.7 62.5 46.9

1951 53.1 112.6 66.3 44.7 84.2 39.7 67.4 47.2

1952 54.1 111.4 67.0 46.2 85.4 41.5 69.1 48.6

1953 55.3 115.2 68.6 49.6 89.8 43.0 72.3 48.0

1954 56.0 106.3 67.6 46.0 82.t 43.3 68.0 52.7

1955 "'.7 113.2 71.2 50.8 86.6 44.9 71.4 51.8

1956 58.3 108.5 69.9 51.3 87.9 47.2 13.3 53.8

1957 59.6 105.5 70.4 51.5 86.5 48.9 13.3 56.5

1958 59.3 95.3 68.0 47.0 79.4 49.3 69.2 62.2

19~ 61.9 104.7 72.1 52.4 84.6 50.1 72.6 ~.1

1960 62.2 102.5 71.9 52.5 84.4 51.2 13.0 60.7

1961 64.0 101.2 13.0 52.6 82.3 52.0 72.0 63.2

1962 66.7 106.6 76.4 57.1 85.6 53.6 74.8 62.6

1963 71.2 111.8 81.1 61.6 86.5 55.1 75.9 63.7

1964 74.6 116.0 84.7 66.0 88.4 56.9 77.9 64.3

1965 76.6 119.8 87.1 71.7 93.6 59.9 82.3 64.0

1966 77.4 119.8 87.7 77.2 99.7 64.5 88.0 64.6

1967 77.4 1.0.6 85.5 77.0 99.5 69.6 90.1 70.0

1968 79.8 1 0.3 87.3 80.9 101.4 13.4 92.7 72.4

1969 80.8 108.3 87.5 83.2 103.0 76.8 95.1 74.6

1970 80.8 98.6 85.2 78.6 97.3 79.7 92.2 82.0

1971 85.3 91.9 88.4 79.9 93.7 81.6 90.4 87.1

1972 89.0 104.2 92.8 87.0 97.8 83.5 93.8 85.4

.,n 93.4 111.4 97.9 96.3 103.1 86.4 98.4 03.8

1974 90.6 101.2 93 oJ 91.7 101.2 90..6 98.3 89.5

10;75 '2.9 90.1 92.0 84.9 91.4 94.2 92.2 103.1

1976 97.1 96.2 96.8 93.1 95.9 96.7 96.1 100.9

1977 100.0 100.0 100.0 100.0 100.0 100.0 100.0 IQQ.O

1978 101.5 102.1 101." 106.0 104.4 103.7 "104.2 99.4

1979 101.4 99.7 101.0 108.1 106.5 108.4 107.0 101.7

1980 101.4 91.2 98.7 103.2 101.7 113.1 104.5 111.2

1981 103.6, 89.2 99.8 104.8 101.1 117.5 105.0 116.2

1982 105.9 81.8 99.2 98.4 92.9 120.3 99.2 139.4

19l3 112.0 86.9 105.1 , '''''104.7 93.5 120.6 99.7 119.0

1984 118.1 95.7 112.2 In.5 99.5 122.8 104.7 123.5

1,.5 . "12••.2 97.8 117.0 122.5 98.7 125.3 104.8 127.0

1986 128.8 99.3 120.6 125.9 97.8 126.8 104.4 129.7

See Footnot •• Following Table 6. Octo~r 13, 1987

SOURCE:eur_ of Lebor S1wt·tstlcs

;-~

~

.".
Tebl.4. Privet. Business Sector: Productivity end Releted Me ••ures. t949-86 .,1

Productivity Inputs

Year Output per Output per Multlfector Output Hours of Cepltllli COlIIbIned un Its Cepltel per

hour of all unit of productivity all persons of lebar and hour of

persons cepltal 121 DJ 14J 151 cepltal Inputsl61 el I persons

Percent Cheng&

1949 1. I -4.2 -0.8 -2.4 -3.5 1.9 -1.6 5.5

1950 8.6 6.4 7.8 9.8 1.1 3.2 1.8 2.0

1951 4.1 2.7 3.6 7.1 2.9 4.4 3.4 1.4

1952 3.2 0.3 2.2 3.2 0.0 2.9 1.0 2.9

1953 3.7 2.0 3.1 4.7 1.0 2.6 1.5 1.6

1954 1.7 -3.6 -0.1 -1.8 -3.4 1.8 -1.7 5.4

1955 3.1 3.6 3.3 7.0 3.8 3.3 3.6 -0.5

1956 1.4 -0.8 0.6 2.9 1.5 3.7 2.3 2.2

1957 2.7 ·1.7 1.1 1.1 -1.6 2.8 -0.1 4.4

1958 3.0 -3.5 0.7 -1.9 -4.8 1.7 -2.6 6.8

1959 3.4 5.2 4.0 7.3 3.9 2.0 3.2 -1.7

1960 1.7 -0.7 0.8 1.7 0.1 2.4 0.9 2.4

1961 3.6 -0.1 2.3 1.9 -1.7 2.0 -0.4 3.7

1962 3.6 2.5 3.2 5.3 1.6 2.7 2.0 1.1

1963 4.0 1.7 3.2 4.6 0.5 2.9 1.4 2.3

1964 4.3 2.7 3.7 6.0 1.6 3.3 2.2 1.6

1965 3.0 1.9 2.6 6.3 3.2 4.3 3.6 1.0

1966 2.7 0.0 1.7 5.2 2.4 5.2 3.4 2.7

1967 2.7 -2.2 0.9 2.7 -0.1 5.0 1.lI 5.1

1968 2.8 0.1 1.lI 4.5 1.6 4.3 2.6 2.6

1969 0.1 -1.7 -0.6 2.7 2.6 4.5 3.3 l.lI

1970 0.8 -4.8 -1.2 -0.9 -1.7 4.1 0.2 5.9

1971 ~.3 -0.8 1.8 2.7 -0.5 3.5 0.9 4.1

1972 3.0 2.6 2.9 6.4 3.3 3.6 3.4 0.4

1973 2.0 1.4 1.8 6.0 4.0 4.6 4.2 0.6

1974 -2.1 -6.2 -3.6 -1.9 0.3 4.6 1.lI 4.4

1975 2.0 -5.0 -0.5 -2.2 -4.1 3.0 -1.6 7.4

1976 2.8 3.6 3.1 5.9 3.0 2.2 2.7 -0.8

1977 1.6 2.9 2.1 5.8 4.1 2.9 3.7 -1.2

1978 O.lI 2.0 1.2 5.8 5.0 3.8 4.5 -1.2

1979 -1.2 -2.1 -1.5 2.0 3.2 4.1 3.6 0.9

1980 -0.4 -5.7 -2.2 -1.2 -0.8 4.7 1. I 5.6

1981 1.4 -1.9 0.3 2.2 0.7 4.1 1.9 3.4

1982 -0.3 -6.3 -2.5 -3.1 -2.8 3.3 -0.7 6.3

1983 2.8 2.0 2.5 4.2 1.4 2.2 1.7 0.8

1984 2.5 5.0 3.4 8.5 5.8 3.3 4.9 -2.3

1985 1.9 0.0 1.2 4.0 2.1 4.0 2.lI 1.9

1986 1.9 0.1 1.2 3.3 1.4 3.2 2.0 1.8

See Footnotes Following Teble 6. October 1'. 1987

SDUR:E : &ure.u of Lebar Stetlstlcs
T8ble 5. Prlv8te Nonf8rm Business Sector: Productivity 8nd Rel8ted Measures. 1•••••• 111

l"r_uctlvlty Inputs

T..,. Olrtp.t per Ortput per Multlf8ctor Oufplrt ",",rs of c.pltel CeIIIbI•••• lift Ih C~ltal per

hour of ell .nlt of productivity a'l~s of ,...,. lmd hour of

persons cepltal 121 1:51 (41 1,51 cepltal Inputsl61 all persons

PERCENT ~AN>E

1949 1.8 -4.2 -0.3 -2.3 -4.1 1.9 -2.0 6.2

1950 6.6 6.4 6.5 9.9 3.1 3.3 3.2 0.2

1951 3.1 2.9 3.0 7.8 4.6 4.7 4.7 0.1

1952 2.3 0.2 1.6 3.2 0.9 3.1 1.6 2.2

1953 2.2 1.9 2.1 4.7 2.5 2.8 2.6 0.3

1954 1.6 -3.8 -0.3 -2.0 -3.5 1.9 -1.7 5.6

1955 3.0 3.6 3.2 7.2 4.1 3.5 3.9 -0.6

1956 0.6 -0.7 0.1 3.1 2.5 3.9 3.0 1.4

1957 1.9 -1.6 0.7 1.3 -0.6 3.0 0.6 3.6

19511 2.5 -3.8 0.2 -2.1 -4.5 1.8 -2.3 6.5

1959 3.3 5.5 4.0 7.8 4.4 2.2 3.6 -2.1

1960 1.1 -1.1 0.3 1.6 0.5 2.7 1.3 2.2

1961 3.2 -0.2 2.0 2.0 -1.2 2.2 0.0 3.4

1962 3.3 2.6 3.0 5.5 2.1 2.9 2.4 0.7

1963 3.7 1.7 2.9 4.7 1.1 3.0 1.8 2.0

1964 3.9 2.8 3.5 6.3 2.3 3.4 2.7 1.1

1965 2.5 1.8 2.3 6.4 3.7 4.5 4.0 0.7

1966 2.0 0.2 1.4 5.6 3.5 5.4 4.2 1.8

1967 2.3 -2.6 0.5 2.5 0.2 5.2 2.0 5.0

1968 2.7 0.2 1.8 4.7 1.9 4.5 2.9 2.5

1969 -0.5 -1.9 -1.0 2.7 3.2 4.7 3.7 1.5

1970 0.4 -5.1 -1.6 -1.1 -1.5 4.3 0.5 5.8

1971 3.0 -0.9 1.7 2.7 -0.3 3.7 1.0 4.0

1972 3.0 2.6 2.9 6.5 3.4 3.8 3.5 0.4

1973 1.8 1.4 1.7 6.2 4.3 4.8 4.5 0.4

1974 -2.2 -6.4 -3.6 -1.9 0.3 4.9 1.8 4.5

1975 1.8 -5.4 -0.7 -2.4 -4.1 3.1 -1.7 7.6

1976 2.6 3.7 3.0 6.1 3.5 2.4 3.1 -1.1

1977 1.5 2.8 2.0 5.9- 4." 3.1 3.9 -1.3

1978 0.8 1.9 1.2 6.0 5.1 ".0 ".7 -1.1

1979 -1.6 -2.8 -2.0 1.8 3.5 ".8 3.9 1.3

1980 -0.5 -5.6 -2.3 -1.2 -0.8 ".7 1.0 5.5

1981 1.0 -2.5 -0.2 1.7 0.8 ".3 2.0 3.5

1982 -0.5 -6.6 -2.7 -3.3 -2.8 3.5 -0.7 6.5

1983 3 ••• 2.6 3.1 5.0 1.6 2 ••• 1.9 0.8

1914 2.1 ".6 3.0 8." 6.1 3.6 5.2 -2."

1985 1.2 -0.6 0.5 3.7 2." 4.3 3.1 1.8

1986 1.6 -0.3 0.9 3.2 1.5 3.5 2.2 1.9

S•• Footnotes Following Table 6. October 13. 1987

SOURCE: 8ureeu of Lebar StatIstics
T.ble 6••••• nuf.ct •••.l.,~: ~l,"" ••• -.. ••• __ ••r_. ,••••.••'

Praltuctlvlty ~s

-

v••. Qtl'tput per 0u1'pu1'per ~ultlf~ 0v1'1tvt tteun. fit -..... 1 T· •• _In c., Ital ,.r

'-r of all unit of prolluctlwl1'y all~ •• fIlIItIIr ••• '- of

perllOl'lS capital 121 (3! 141 (" GIIIIJi~.1 l,.,ts161 all ,wsoM

P.r~n1' Chenge

1949 4.1 -6.2 0.6 -5.1 -8.9 1.1 -5.7 10.9

1950 5.4 10.6 7.2 D.9 8.0 3.0 6.3 -4.6

1951 3.9 3.4 3.7 11.9 7.7 11.3 7.9 0.5

1952 1.9 -1.1 0.9 3.4 1.4 4.6 2.5 3.1

1953 2.1 3.5 2.5 7.3 5.1 3.7 4.7 -1.4

1954 1.4 -7.8 -1.5 -7.3 -8.6 0.5 -5.9 9.9

1955 4.7 6.5 5.3 to.5 5.5 3.7 5.0 -1.7

1956 -0.6 -4.2 -1.7 0.9 1.5 5.3 2.7 3.7

1957 2.1 -2.8 0.6 0.6 -1.5 3.4 0.0 5.0

1958 -0.6 -9.6 -3.3 -8.7 -8.2 1.0 -5.6 10.0

1959 4.5 9.8 6.1 11.4 6.6 1.4 5.0 -4.9

1960 0.5 -2.1 -0.3 0.2 -0.3 2.3 0.5 2.6

1961 2.8 -1.3 1.6 0.2 -2.5 1.5 -1.3 4.1

1962 4.2 5.3 4.6 8.5 4.1 3.1 3.8 -1.0

1963 6.8 4.9 6.2 7.9 1.0 2.9 1.6 1.8

···..,'c¥· 1964 4.8 3.7 4.4 7.1 2.2 3.2 2.5 1.0

1965 2.7 3.2 2.9 1l.7 5.9 5.3 5.7 -0.6

1966 1.1 0.0 0.7 7.7 6.5 7.6 6.9 1.0

1967 -0.1 -7.7 -2.6 -0.3 -0.2 1l.0 2.4 1l.2

1968 3.2 -0.3 2.1 5.1 1.9 5.4 3.0 3.5

1969 1.2 -1.8 0.3 2.8 1.6 4.7 2.5 3.1

1970 0.0 -9.0 -2.6 -5.6 -5.6 3.8 -3.0 9.9

1971 5.6 -0.7 3.8 1.7 -3.7 2.4 -2.0 6.3

1972 4.4 6.5 5.0 8.9 4.3 2.3 3.7 -2.0

1973 4.9 6.9 5.5 10.7 5.5 3.6 4.9 -1.8

1974 -3.0 -9.2 -4.7 -4.8 -1.9 4.8 -0.1 6.11

1975 2.5 -11.0 -1.3 -7.5 -9.7 4.0 -6.2 15.2

1976 4.6 6.9 5.2 9.7 4.9 2.7 4.3 -2.2

1977 3.0 3.9 3.3 7.4 4.3 3.4 4.0 -0.9

1978 1.5 2.1 1.7 6;0 4.4 3.7 4.2 -0.6

1979 -0.1 -2.4 -0.7 2.0 2.1 4.4 2.7 2.3

19l1O 0.0 -8.5 -2.2 -4.5 -4.5 4.4 -2.4 '.3

1981 2.2 -2.2 1.1 1.6 -0.6 3.9 0.5 4.5

1982 2.2 -8.3 -0.6 -6.1 -1l.1 2.3 -5.6 11.4

19113 5.8 6.2 5.9 6.4 0.6 0.3 0.5 -0.4

1984 5.5 10.2 6.8 12.2 6.4 1.9 5.1 -4.:S

1985 5.1 2.2 4.2 4.3 -O.ll 2.1 0.0 2.'

1986 :S.7 1.6 3.\ 2•• -0.9 1.2 -0.3 2.1

See FooTnotes Following Table 6. 0c:1'lMw15. I,.

93\J11CE:___ ot LMor S1'lItlstlcs
Footnotes, Tables 1-6

SOURCE: Output data are from Bureau of Economic Analysis (BEA), U.S.

Department of Commerce, and the Federal Reserve Board. Compensat ion and hours data are from the Bureau of Labor Stat is tics, u.S.

Department of Labor, and BEA. Capital measures are based on data

supplied by BEA and U.S. Department of Agriculture.

(1) The private business sector includes all of Gross National Product

except the rest-of-world sector, the rental value of owneroccupied real estate, the output arising in nonprofit organizations, the output of paid employees of private households, government, and the statistical discrepancy in preparing the national

income accounts. The private nonfarm business sector also

excludes farms, but includes agricul tural services.

(2) Output per unit of combined labor and capital inputs.

(3) Gross Domestic Product originating in the sector, in constant

dollars.

(4) Paid hours of all employees, plus the hours of proprietors and

unpaid fam ily workers engaged in the sector.

(5) A measur~ of the flow of capital services used in the sector.

(6) Hours of all persons combined with capital input, using labor and

capital shares of output as weights.