s

Bureau of Labor Statistics

Historical, technical

information: (202) 523-9261

Current data: (202) 523-1221 or 1208

Media contact: (202) 523-1913

United States

Department

of Labor

-------.--

Washington, D.C. 20212

USDL 83-440

For Release 10:00 AM EDT

Thursday, October 13, 1983

MULTIFACTOR PRODUCTIVITY MEASURES

Private Business, Private Nonfarm Business, and Manufacturing Sectors

Annual Measures for 1982

Productivity as measured by output per unit of combined labor and capital inputs--

multifactor productivity-- decreased 1.9 percent in the private business sector in

1982, according to the latest measures announced today by the Bureau of Lahar

Statistics of the U.S. Department of Labor (table A). Because of a large increase

in the amount of capital services per hour--the capital-Iahor ratio--output per

hour, the more familar productivity measure, declined by only 0.1 percent in this

sector. The following tabulation shows the changes in multifactor productivity for

1982 for three sectors covered by the BLS measures:

-1.9 percent for the private business sector,

-1.9 percent for the private nonfarm husiness sector,

-1.3 percent for the manufacturing sector.

Details are found in tables 1-6.

Private business sector

Multifactor productivity (which measures the change in output not attributable to

changes in capital services and hours) declined 1.q percent in the private husiness

sector in 1982•. This decrease reflected a drop in output of 2.8 percent and a

decrease in combined inputs of 1.n percent. The decrease in comhined capital and

labor inputs resulted from a 2.4 percent increase in capital services and a 2.8

percent decrease in hours (tahle 4). These movements also resulted in a 5."3

percent rise in the amount of capital services per hour. The fall in output was

the largest annual decline recorded in the series which begins with 1Q48. The

increase in capital services was the smallest since 1976.

Output per hour of all persons declined by only 0.1 percent compared with the 1.<)

percent decrease in multifactor productivity. This difference was due to the

increase in the amount of capital per hour: The 5.3 percent rise in the

capital-labor ratio which when multiplied by capital's share of output indicates

that the rise in capital per hour offset 1.8 percentage points of the decline in

multi factor productivity. The growth in the capital per hour (capital-Iahor ratio)

was the largest increase since 1975.

Output per unit of capital services (capital productivity) in the private husiness

sector decreased 5.1 percent in 1Q82. This reflects the falloff tn output, coupled

with the rise in capital services (2.4 percent).
-2-

Private nonfarm business

Multifactor productivity also fell 1.9 percent in the private nonfarm business

sector in 1982 (table 5). Output declined by 2.8 percent and combined inputs of

capital services and hours fell 1.0 percent. The decline in the combined input

index was the result of a 2.5 percent increase in capital services and a 2.8

percent decrease in hours.

Output per hour of all

Again this was a result

which resulted in an

productivity decline.

persons also fell only 0.1 percent in this sector.

of a 5.4 percent increase in the capital-labor ratio

1.8 percentage points offset to the multifactor

Output per unit of capital services decreased 5.2 percent in the private

nonfarm business sector in 1982. This was a result of the decrease in output

(-2.8 percent) combined with the increase in capital services (2.5 percent).

Manufacturing

Multifactor productivity in the manufacturing sector decreased 1.3 percent in

1982 (table 6). This reflected a decrease in output of 6.9 percent and a

decrease in combined inputs of 5.7 percent. Capital services increased 1.6

percent and hours declined 8.0 percent. This was the smallest increase in

capital services in the manufacturing sector since 1972 (when it increased 1.4

percent) and the largest decrease in hours since 1975 (when hours decreased 9.7

percent).

Output per hour increased in the manufacturing sector 1.2 percent in 1982.

Again this was a result of the increase in the ratio of capital services per

hour (10.4 percent) which when multiplied by capital's share resulted in a 2.5

percentage point offset to the multifactor productivity decline.

Output per unit of capital services (capital productivity) fell 8.4 percent in

the manufacturing sector in 1982.

Long-term trends

Revised measures of output. capital services, and hours for 1980 and 1981

resulted in little change in the long-term trends of output per hour.

multifactor productivity, and related changes i~ the capital-labor ratio from

the preliminary measures reported in April 1983 (table B).

Productivity meas~res vary in part because of changes in the economy related to

the business cycle. In order to get an approximate measure of secular trends.

long-term measures are calculated between periods of peak activity in the

business cycle. The year 1981 is used as the last year in this comparison of

long-term trends because it is·the most recent peak year in the business cycle

as designated by the National Bureau of Economic Research.
-3-

Table A. Productivity indexes and related measures

Percent change from 1981 to 1982

Item

Productivity:

Private

business 1/

Private

nonfarM

business 1/

Manufacturing

Output per hour of all persons •••

Output per unit of capital •••••••

Multifactor productivity 1/ .

Out pu t•.•..........................

Inputs:

-0.1 -0.1 1.2

-5.1 -5.2 -8.4

-1.9 -1.9 -1.3

-2.8 -2.8 -6.9

Hours of all persons •••••••••••••

Capital services •••••••••••••••••

Combined units of labor and

capital input 1/ ~ .

Capital services per hour of

all persons (capital-labor ratio)

-2.8

2.4

-1.0

5.3

-2.8

2.5

-1.0

5.4

-8.0

1.6

-5.7

10.4

1/ Excludes government enterprises.

2/ Output per unit of combined labor and capital input.

3/ Hours of all persons combined with capital service input index, weighted by

labor and capital shares.

Table B. Preliminary and revised multifactor productivity and related

measures, 1980 and 1981

Percent change from previous year

Multifactor Capital services Output per hour

Sector productivity per hour of all of all persons

persons

1980 1981 1980 1981 1980 1981

Private business

Preliminary -2.2 1.1 4.4 2.1 -0.8 1.8

Revised -2.0 1.7 4.5 2.2 -0.5 2.4

Private nonfarm business

Preliminary -2.3 0.7 4.2 2.2 -0.9 1.4

Revised -2.1 1.2 4.3 2.2 -0.7 2.0

Manufacturing

Preliminary -2.4 1.4 10.7 5.7 0.2 2.8

Revised -2.2 2.5 9.8 4.1 0.2 3.5
-4-

Growth in output per hour and multifactor productivity showed two distinct

patterns between 1948-73 and 1973-81 (table C). Output per hour in private

business grew at an average rate of 3.0 percent per year in the first period.

This was the result of a 2.0 percent annual growth of multifactor productivity

and a 1.0 percent annual growth rate in the contribution of capital services

per hour to output per hour. During the following period, 1973-81, output per

hour grew at a yearly rate of only 0.8 percent: 0.2 percentage points

reflected multifactor productivity growth and 0.6 percentage points came from

increased contribution of capital services per hour.

In private nonfarm business, the growth rate of output per hour decreased froM

2.5 percent in the 1948-73 period to 0.6 percent in the 1973-81 period. This

reflected a decline in multifactor growth from 1.7 percent to 0.1 percent, and

a decline in the annual growth of the contribution of capital services per hour

from 0,8 percent to 0.5 percent.

The manufacturing output per hour growth rate decreased from 2.9 percent to

1.6 percent annually between the two periods, while multifactor productivity

growth declined from 2.2 percent to 0.6 percent. The annual growth rate of the

contribution of capital services per hour increased from 0.7 percent in the

first period to 1.0 percent in the 1973-81 period. Thus, the decline in

multifactor productivity growth was moderated by the increase in the growth of

contribution of capital services per hour.
-5-

Table C. Revised compound annual rates of growth in output per hour of all

persons, the contribution of capital services per hour, and

multifactor productivity, by major sector, 1948 to 1981

1948- 1948- 1973- SlowMeasure 1981 1973 1981 down

(1) (2) (3) (2) - (3)

Private business 1/

Output per hour of all persons 2.5 3.0 0.8 -2.2

Minus: Contribution of capital services

- per hour to output per hour 1:/ 1.0 1.0 0.6 -0.4

Equals: Multifactor productivity]J 1.5 2.0 0.2 -1.8

Private nonfarm business 1/

-

Output per hour of all persons 2.1 2.5 0.6 -1.9

Minus: Contribution of capital services

per hour to output per hour l/ 0.8 0.8 0.5 -0.3

Equals: Multifactor productivity 1/ 1.3 1.7 0.1 -1.6

Manufacturing

Output per hour of all persons 2.6 2.9 1.6 -1.3

Minus: Contribut~on ~f capital services

per hour to output per hour l/ 0.8 0.7 1.0 0.3

Equals: Multifactor productivity 1/ 1.8 2.2 0.6 -1.6

1/ Excludes government enterprises.

2/ Change in capital. per unit of labor weighted by capital's share of total

output.

1/ Output per unit of combined labor and capital input.

Sources: Tables 1-3
-6-

The following note briefly describes the major data sources and the procedures

used in deriving the new BLS multifactor productivity indexes. More detailed

information on the methods, limitations, and data sources are in BLS Bulletin

2178, Trends in Multifactor Productivity, 1948-81.

Summary of Methods

The multifactor 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 of

capital services. The output indexes are computed from measures of constant

dollar gross domestic product, derived from the national income and product

accounts developed by the Bureau of Economic Analysis of the U.S. Department of

Conunerce.

The labor component (the hours of all persons) of the input indexes is

developed'from measures ofemployment and average hours, drawn mainly from the

BLS Current Employment Statistics program (the "establishment" survey) and the

Current Population Survey (the "household" survey). The establishment survey

provides information about employees on nonagricultural payrolls; the household

survey about the self-employed, unpaid family workers, and those engaged in

agriculture. The B~S has done considerable research on the effects of changes

in the composition of the workforce on productivity growth. This work is not

included in the measures published today because more research is required.

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 business, private nonfarm business, and

manufacturing sectors. The private business 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 world" sector, owner-occupied housing, nonprofit institutions, and

private household employees. The private nonfarm business sector also excludes

agriculture but includes agricultural services.

The multifactor productivity measures in the news release describe the

relationship betwee~ 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.
-7-

TrendsinMultifactor ~

-Productivity,1948-81-------------Wus Department of Labor

Raymond J. Donovan. Secretary

Bureau of Labor Statistics

Janet L Norwood. CommIssIoner

September .1983

Bulletin 2178

Trends in Multifactor Productivity, 1948-81, BLS Bulletin 2178, has been

prepared by the Division of Productivity Research and is now available.

This 80-page bulletin contains annual indexes of output per unit of Combined labor and capital inputs, output per hour of all persons, and output

per unit of capital for the private business, private nonfarm business, and

manufacturing sectors. Also included are 6 appendix chapters which explain

the data sources and many of the issues dealt with in the computation of

these measures. Please call William H. Waldorf, (202) 523-9261, for additional information. BLS Bulletin 2178 can be ordered from the

Superintendent of Documents, U.S. Government Printing Office, Washington,

D.C. 20402 (Stock No. 029-001-02758-3), GPO Bookstores, or BLS Regional

Offices listed below. The price is $4.50. Make checks or money orders

payable to the Superintendent of Documents.

REGION I

1603 JFt.Federal Building

Government Center

Boston, Mass. 02203

Phone: (617) 223-6761

REGION II

Suite 3400

1515 Broadway

New York, N.Y. 10036

Phone: (212} 944-3121

REGION III

3535 Market Street

P.O. Box 13309

Philadelphia, Pa. 19101

Phone: (215) 596-1154

REGION IV

1371 Peachtree Street, N.E.

Atlanta, Ga. 30367

Phone: .(404) 881-4481

REGION V

9th Floor

Federal Office Building

230 S. Dearborn Street

Chicago, Ill. 60604

Phone: (312) 353-1880

REGION VI

Second Floor

555 Griffin Square Building

Dallas, Tex. 75202

Phone: (214) 767-6971

REGIONS VII AND VIII

911 Wallnut Street

Kansas City, Mo. 64106

Phone: (816) 364-2481

REGIONS IX AND X

450 Golden Gate Avenue

Box 36017

San Francisco, Calif. 94102

Phone: (415) 556-4678
~ab1e 1. Private business sector: productivity and reLated measures, 1948-R2 II

Productivity Inputs

Year Output per Output per Mu1tifactor Output Hours of Capital Combined units Capital per

hour of all unit of productivity all persons services of labor and hour of

persons capital 1.1 1/ !:-I 21 capital inputs ~I all persons

Indexes 1977-100

1948 45.3 99.0 60.0 36.8 81.3 37.2 61.3 45.7

1949 46.0 93.5 59.3 36.1 78.6 38.6 60.9 49.2

1950 49.7 98.6 63.6 39.5 79.5 40.1 62.1 50.4

1951 51.2 100.1 65.1 41.8 81.8 41.8 64.3 51.1

1952 52.9 99.3 66.3 43.2 81.8 43.5 65.2 53.2

1953 54.6 100.6 68.0 45.1 82.6 44.9 66.4 54.3

1954 55.6 96.2 67.7 44.3 79.8 46.1 65.5 57.7

1955 57.8 100.9 70.7 47.9 82.9 47.5 67.8 57.3

1956 5R.5 100.0 70.9 49.2 84.2 49.2 69.4 58.5

1957 60.0 97.9 71.6 49.7 82.9 50.7 69.4 61.2

1958 61.8 94.3 72.0 48.9 79.0 51.9 67.9 65.6

1959 63.9 99.3 74.9 52.5 82.1 52.9 70.0 64.4

1960 64.8 98.5 75.4 53.3 82.2 54.1 70.7 65.8

1961 67.0 98.0 76.9 54.2 80.9 55.3 70.5 68.4

1962 69.6 101.2 79.7 57.2 82.2 56.6 71.8 68.8

1963 72.2 102.6 82.0 59.7 82.7 58.2 72.9 70.4

1964 75.3 105.2 84.9 63.3 84.0 60.2 74.5 71.6

1965 78.0 107.8 87.6 67.6 86.7 62.7 77.2 72.4

1966 80.4 108.0 89.3 71.3 88.7 66.0 79.9 74.5

1967 82.3 104.9 89.6 72.9 88.6 69.5 81.4 78.5

1968 85.1 105.5 91.7 76.7 90.1 72.7 83.7 80.7

1969 85.3 103.7 91.2 78.9 92.5 76.1 86.5 82.3

1970 86.1 98.5 90.2 78.3 90.9 79.4 86.8 87.4

1971 89.2 98.1 92.2 80.6 90.4 82.2 87.5 91.0

1972 92.3 101.0 95.2 86.0 93.2 85.2 90.4 91.5

1973 94.7 103.0 97.5 91.8 96.9 89.1 94.1 92.0

1974 92.4 96.5 93.8 89.9 97.2 93.1 95.8 95.8

1975 94.5 92.0 93.6 88.0 93.1 95.7 94.0 102.8

1976 97.6 96.1 97.1 93.7 95.9 97.5 96.5 101.6

1977 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

1978 100.6 101.8 101.0 105.5 104.9 103.6 104.4 98.8

1979 ·99.3 100.3 99.7 107.9 108.6 107.5 108.2 99.0

1980 98.8 95.5 97.7 106.4 107.7 111.4 108.9 103.4

1981 101.2 95.8 99.3 109.8 108.4 114.6 110.5 105.7

1982 101.1 90.9 97.4 106.6 105.4 117.3 109.4 111.3

See footnotes following table 6.
Table 2. Private nonfarm business sector: productivitY and related~asures:-r948--82 1.1-

Productivity Inputs

Year OutPUt per Output per MultUactor Output Hours of Capital Combined units Capital per hour of all unit of productivity all persons services of labor and hour of

persons -.capital 11 1/ -fil- -2/- -

__capital inputs!1 all per!<>ns

Indexes 1977-100

1948 51.2 97.9 64.6 35.6 69.6 36.4 55.2 52.3

1949 52.3 92.7 64.2 34.9 66.8 37.7 54.5 56.4

1950 55.6 98.2 68.1 38.3 69.0 39.0 56.3 56.6

1951 56.6 100.4 69.5 40.8 72.2 40.7 58. I! 56.3

1952 58.0 99.6 70.4 42.2 12.8 42.4 60.0 58.2

1953 59.0 100.1\ 71.4 44.1 74.7 43.7 61.7 58.5

1954 59.9 96.1 71.0 43.2 72.1 44.9 60.9 62.3

1955 62.3 100.9 74.1 46.8 75.1 46.4 63.2 61. 8

1956 62.5 100.0 74.0 48.1 17.0 48.1 65.1 62.5

1957 63.6 98.0 74.3 48.7 76.6 49.7 65.6 64.9

1958 65.1 94.0 74.3 47.8 73.4 50.8 64.3 69.3

1959 67.4 99.5 17.5 51.6 76.6 51.9 66.6 67.7

1960 67.9 98.4 77.&- 52.3 17.0 53.2 67.4 69.0

1961 70.0 98.0 78.9 53.3 76.1 54.4 67.5 71.4

1962 12.5 101.3 81.7 56.4 77.8 55.7 69.0 71.6

1963 74.9 102.7 83.8 58.9 78.6 57.4 70.3 73.0

1964 17.8 105.~ 86.7 62.7 80.5 59.4 72.3 73.7

1965 80.3 108.2 89.2 67.0 83.5 62.0 75.1 74.2

1966 82.2 108.7 90.7 71.0 86.4 65.3 78.3 75.6

1967 83.8 105~3 90.7 12.5 86.5 68.9 79.9 79.6

1968 86.6 106.0 92.9 76.4 88.2 72.1 82.3 81.7

1969 86.4 104.1 92.1 78.7 91.1 75.6 85.4 83.0

1970 86.8 98.6 90.6 17.8 89.7 78.9 85.9 88.0

1971 89.7 98.0 92.4 80.1 89.3 81.8 86.7 91.5

1972 93.0· 101.1 95.7 85.8 9.2.2 84.8 89.7 92.0

1973 95.3 103.2 97.9 91.7 96.2 88.8 93.6 92.3

1974 92.9 96.5 94.1 89.7 96.6 93.0 95.4 96.3

1975 94.7 91.7 93.6 87.6 92.5 95.6 93.(, 103.4

1976 97.8 96.1 97.2 93.6 95.7 97.4 96.3 101.8

1917 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

1978 100.6 101.9 101.1 105.7 105.1 103.7 104.6 98.7

1979 99.0 100.1 99.4 108.0 109.0 107.9 108.6 99.0

1980 98.3 95.2 97.3 106.4 108.2 111.7 109.4 103.2

1981 100.2 95.0 98.4 109.3 109.0· 115.1 111.1 105.5

1982 100.2 90.0 96.6 106.2 106.0 118.0 110.0 111.2

See footnotes following table 6.
Table 3. Manufacturing sector: productivity and related measures, 1948-82 II

Productivity Inputs

Year Output per Output per Hultifactor Output Hours of Capital Combined units Capital per

hour of all unit of product! vi ty all persons services of labor and hour of

persona capital 1./ 1.1 !;I 1.1 capital inputs il all persons

Indexes 1977-100

1948 45.1 93.9 56.1 35.8 79.4 38.1 63.8 48.0

1949 46.9 85.6 55.9 33.9 72.4 39.6 60.7 54.8

1950 49.4 94.5 59.9 38.6 78.2 40.9 64.6 52.3

1951 51. 1 99.2 62.2 43.0 84.2 43.4 69.2 51.5

1952 52.0 95.5 62.2 44.5 85.4 46.6 71.5 54.5

1953 52.9 98.4 63.5 47.5 89.8 48.3 74.8 53.8

1954 53.7 89.0 62.2 44.1 82.1 49.6 70.9 60.4

1955 56.4 95.6 65.8 48.9 86.6 51.1 74.2 59.0

1956 56.0 92.4 64.8 49.2 87.9 53.3 76.0 60.6

1957 57.1 89.5 65.1 49.5 86.5 55.3 76.0 63.9

1958 56.9 80.4 62.8 45.2 79.4 56.2 72.0 70.8

1959 59.6 89.1 67.0 50.5 84.7 56.7 75.4 66.9

1960 60.0 88.0 67.0 50.7 84.4 57.5 75.6 68.2

1961 61.6 86.9 68.0 50.7 82.3 58.3 74.6 70.9

1962 64.3 92.9 71.5 55.1 85.6 59.2 77.0 69.2

1963 68.9 98.3 76.3 59.6 86.5 60.7 78.2 70.1

1964 72.3 102.3 79.8 63.9 88.4 62.4 80.0 70.6

1965 74.5 107.3 82.8 69.8 93.6 65.1 84.3 69.5

1966 75.3 108.6 83.7 75.1 99.8 69.2 89.8 6<;.3

1967 75.3 101.1 81.8 75.0 99.6 74.2 91.7 74.5

1968 78.0 101.1 83.7 79.1 101.4 78.2 94.4 77 .1

1969 79.3 100.5 84.6 81.7 103.1 81.3 96.6 78.9

1970 79.1 91.8 82.3 77.0 97.3 83.9 93.6 86.2

1971 83.9 92.3 86.0 78.7 93.7 85.2 91.5 90.9

1972 88.2 99.8 91.1 86.2 97.8 86.4 94.7 88.3

1973 93.0 108.2 96.8 95.9 103.2 88.6 99.1 85.9

1974 90.8 99.6 . 93.0 91.9 101.2 92.2 98.8 91.1

1975 93.4 89.4 92.2 85.4 91.4 95.5 92.6 104.4

1976 97.5 96.1 97.1 93.6 95.9 97.4 96.4 101.5

1977 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

1978 100.8 101.5 101.0 105.3 104.5 103.8 104.3 99.3

1979 101.5 99.5 101.0 108.2 106.6 108.8 107.2 102.1

1980 101.7 90.7 98.7 103.5 101.8 114.1 104.8 112.1

1981 105.3 90.2 101.2 106.5 101.2 118.0 105.2 116.7

1982 106.5 82.7 99.9 99.1 93.0 119.9 99.2 128.8

See footnotes following table 6.
Table 4. Private business sector: productivity and related measures, 1948-82 II

Productivity Inputs

Year Output per Output per Hult1factor Output Hours of Capital Combined units Capital per

hour of all unit of productivity all persons services of labor and hour of

persons capital 1/ 11 !!..I 51 capital inputs y all persons

-

Percent change

1949 1.6 -5.6 -1.1 -1.9 -3.4 3.9 -0.8 7.6

1950 8.2 5.5 7.2 9.4 1.2 3.7 2.1 2.5

1951 2.9 1.5 2.4 5.9 2.9 4.3 3.5 1.4

1952 3.4 -0.8 I.R 3.3 0.0 4.1 1.5 4.2

1953 3.3 1.3 2.6 4.4 1.1 3.1 1.8 2.0

1954 1.7 -4.4 -0.4 -1.8 -3.4 2.7 -1.4 6.3

1955 4.1 4.8 4.4 8.1 3.8 3.1 3.6 -0.7

1956 1.1 -0.9 0.3 2.6 1.5 3.6 2.3 2.0

1957 ~.6 -2.0 0.9 1.0 -1.5 3.1 0.1 4.7

1958 3.1 -3.7 0.7 -1.6 -4.6 2.2 -2.3 7.1

1959 3.3 5.3 4.0 7.3 3.9 1.9 3.2 -1.9

1960 1.5 -0.8 0.6 1.6 0.1 2.4 0.9 2.3

1961 3.4 -0.5 1.9 1.7 -1.6 2.2 -0.3 3.8

1962 3.9 3.2 3.6 5.6 1.6 2.3 1.9 0.6

1963 3.8 1.4 2.9 4.4 0.6 2.9 1.4 2.4

1964 4.3 2.5 3.6 6.0 1.6 3.4 2.3 1.7

1965 3.6 2.4 3.1 6.8 3.1 4.3 3.6 1.1

1966 3.1 0.2 1.9 5.5 2.4 5.3 3.5 2.8

1967 2.3 -2.9 0.3 2.2 -0.1 5.3 1.9 5.4

1968 3.4 0.6 2.4 5.2 1.7 4.6 2.7 2.9

1969 0.2 -1.7 -0.5 2.9 2.7 4.7 3.4 2.0

1970 0.9 -5.0 -1.2 -p.8 -1.7 4.3 0.3 6.2

1971 3.6 -0.5 2.2 3.0 -0.6 3.5 0.8 401

1972 3.5 3.0 3.3 6.7 3.1 3.6 3.3 0.5

1973 2.6 2.0 2.4 6.6 4.0 4.6 4.2 0.6

1974 -2.4 -6.3 -3.8 -2.1 0.4 4.6 1.8 4.2

1975 2.2 -4.7 -0.2 -2.1 -4.2 2.7 -1.9 7.3

1976 3.3 4.5 3.8 6.5 3.0 1.9 2.6 -1.1

1977 2.4 4.0 3.0 6.7 4.2 2.6 3.6 -1.6

1978 0.6 1.8 1.0 5.5 4.9 3.6 4.4 -1.2

1979 -1.2 -1.4 -1.3 2.2 3.5 3.7 3.6 0.2

1980 -0.5 -4.8 -2.0 -1.4 -0.8 3.6 0.7 4.5

19111 2.4 0.3 1.7 3.2 0.7 2.9 1.5 2.2

1982 -0.1 -5.1 -1.9 -2.8 -2.11 2.4 -1.0 5.3

See footnotes following table 6.
Table 5. Private nonfarm business sector: productivity and related me~; '1~48-82 '1~

- -

Productivity Inputs

Year Output per Output per Mu1tifactor OutPut Hours of Capital Combined units Capital per

hour of all unit of productivity all persons services of labor and hour of

persons capital 2/ 2.1 4/ 2.1 capital inputs 6/ all persons

Percent change

1949 2.2 -5.4 -0.6 -1.9 -4.0 3.6 -1.3 8.0

1950 6.3 6.0 6.2 9.7 3.2 3.5 3.3 0.3

1951 1.9 2.2 2.0 6.6 4.6 4.2 4.5 -0.4

1952 2.5 -0.8 1.3 3.4 0.9 4.2 2.1 3.3

1953 1.7 1.2 1.5 4.4 2.6 3.2 2.8 0.5

1954 1.5 -4.7 -0.6 -2.0 -3.5 2.8 -1.4 6.5

1955 4.0 5.0 4.4 8.4 4.2 3.2 3./\ -0.9

1956 0.3 -0.8 -0.1 2.8 2.5 3.7 3.0 1.1

1957 1.8 -2.0 0.4 1.2 -0.6 3.3 0.8 3.8

1958 2.4 -4.1 0.0 -1.9 -4.3 2.3 -2.0 6.8

1959 3.5 5.9 4.3 8.0 4.4 2.0 3.5 -2.3

1960 0.8 -1.1 0.1 1.4 0.6 2.5 1.3 1.9

1961 3.0 -0.5 1.7 1.8 -1.2 2.3 0.1 3.5

1962 3.6 3.4 3.5 5.9 2.2 2.4 2.3 0.2

1963 3.3 1.4 2.5 4.4 1.1 3.0 1.8 1.9

1964 3.9 2./\ 3.5 6.4 2.4 3.5 2./\ 1.1

1965 3.1 2.5 2.9 7.0 3.7 4.4 4.0 0.7

1966 2.4 0.5 1.7 5.9 3.4 5.4 4.2 1.9

1967 1.9 -3.1 0.0 2.1 0.2 5.4 2.1 5.2

1968 3.4 0.7 2.4 5.4 2.0 4.7 3.0 2.7

1969 -0.3 -1.8 -0.8 2.9 3.2 4.8 3.8 1.5

1970 0.4 -5.3 -1.6 -1.1 -1.5 4.5 0.5 6.0

1971 3.4 -0.6 2.0 2.9 -0.4 3.6 0.9 4.0

1972 3.7 3.2 3.5 7.n 3.2 3.7 3.4 0.5

1973 2.5 2.1 2.3 6.9 4.3 4.7 4.5 0.4

1974 -2.5 -6.5 -3.'l -2.2 0.4 4.7 1.8 4.3

1975 2.0 -5.0 -0.5 -2.4 -4.3 2.8 -1.9 7.4

1976 3.3 4.9 3.8 6.9 3.5 1.9 2.9 -1.5

1977 2.2 4.0 2.9 6.8 4.5 2.7 3.8 -1.8

1978 0.6 1.9 1.1 5.7 5.1 3.7 4.6 -1.3

1979 -1.6 -1.8 -1.6 2.2 3.8 4.0 3.9 0.2

1980 -0.7 -4./\ -2.1 -1.5 -0.8 3.5 0.7 4.3

1981 2.0 -0.3 1.2 2.7 0.8 3.0 1.5 2.2

1982 -0.1 -5.2 -l.'l -2./\ -2./\ 2.5 -1.0 5.4

See footnotes following table 6.
Table 6. ManufacturinR sector: productivity and related measures, 1948-82 l/

Proeuct1vity luputs

Year Output per Output per Hultlfactor Output Hours of Capital Combined units Capital per

hour of all unit of productivity all persons sevices of labor and hour of

persons capitsl 1.1 1.1 !if :2.1 capital inputs 2./ all persons

Percent change

1949 4.0 -8.9 -0.4 -5.2 -8.9 4.0 -4.9 14.1

1950 5.4 10.4 7. I 13.9 8.0 3.1 6.3 -4.5

1951 3.4 4.9 3.9 11.4 7.7 6.1 7.2 -1.4

1952 1.8 -3.7 0.0 3.3 1.4 7.3 3.3 5.F\

• 1953 1.7 3.1 2. I 6.9 5.1 3.7 4.7 -1.4

1954 1.f> -9.6 -2.0 -7.2 -8.6 2.7 -5.3 12.3

1955 5.0 7.5 5.8 10.8 5.5 3.1 4.7 -2.3

1956 -0.7 -3.4 -1.6 0.7 1.5 4.3 2.4 2.7

1957 2.1 -3.2 0.4 0.5 -1.5 3.8 0.1 5.4

1958 -0'.4 -10.2 -3.4 -8.6 -8.2 1.8 -5.3 10.9

1959 4.8 10.8 6.6 11.7 6.6 0.8 4.8 -5.5

1960 0.7 -1.2 0.1 0.3 -0.3 1.5 0.3 1.8

1961 2.7 -1.2 1.5 0.1 -2.5 1.4 -1.4 4.0

1962 4.3 6.9 5.1 8.6 4.1 1.6 3.3 -2.4

1963 7.2 5.7 6.7 8.3 1.0 2.4 1.5 1.4

1964 4.8 4.2 4.f> 7.1 2.2 2.9 2.4 0.6

1965 3.1 4.8 3.7 9.2 5.9 4.2 5.3 -1.6

1966 1.1 1.3 1.2 7.7 6.5 6.3 6.5 -0.2

1967 0.0 -7.0 -2.3 -0.2 -0.2 7.3 2.1 7.5

1968 3.5 0.0 2.4 5.5 1.9 5.4 3.0 3.5

1969 1.7 -0.5 1.0 3.4 1.6 3.9 2.3 2.3

lQ70 -0.2 -8.7 -2.7 -5.8 -5.6 3.2 -3.2 9.3

1971 6.1 0.6 4.5 2.2 -3.7 1.6 -2.2 5.5

1972 5.0 8. 1 6.0 9.6 4.3 1.4 3.4 -2.8

1973 5.4 8.4 6.3 11.2 5.5 2.6 4.6 -2.8

1974 -2.4 -7.9 -3.9 -4.2 -1.9 4.1 -0.3 6.1

1975 2.9 -10.3 -0.9 -7. I -9.7 3.5 -6.2 14.6

1976 4.4 7.4 5.-3 9.6 4.9 2.0 4.1 -2.8

1977 2.5 4.1 3.0 6.9 4.2 2.7 3.8 -1.5

1978 0.8 1.5 1.0 5.3 4.5 3.8 4.3 -0.7

1979 0.7 -2.0 -0.1 2.7 2.0 4.8 2.8 2.7

1980 0.2 -8.8 -2.2 -4.4 -4.5 4.9 -2.2 9.8

1981 3.5 -1).5 2.5 2.9 -0.6 3.4 0.4 4.1

1982 1.2 -8.4 -1.3 -6.9 -8.0 1.6 -5.7 10.4

See footnotes following table 6.
Footnotes, Tables 1-6

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

Commerce~ and the Federal Reserve Board. Compensation and hours data

from the Bureau of Labor Statistics, 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-~f-world sector, the rental value of owner-occupied real estate,

the output arising in nonprofit organizations, the rental value of real

estate occupied by 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 agricultural 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 family workers engaged in the sector.

(5) A measure of (he flow of capital services used in the sector.

(6) Ho~rs of all persons combined with capital input, using labor and

capital shares of output as weights.