Intangible capital and economic growth
By: Carol Corrado, Charles Hulten, and Daniel Sichel
Contributors: Sichel, Daniel; Hulten, Charles
Series: Finance and economics discussion series -- 2006-24; Finance and economics discussion series (Online) -- 2006-24.
Publisher: Federal Reserve Board
Published: 2006
Place of publication: Washington, D.C
Language: eng
Format: [electronic resource] /
Description: "Published macroeconomic data traditionally exclude most intangible investment from measured GDP.  This situation is beginning to change, but our estimates suggest that as much as $800 billion is still excluded from U.S.  published data (as of 2003), and that this leads to the exclusion of more than $3 trillion of business intangible capital stock.  To assess the importance of this omission, we add intangible capital to the standard sources-of-growth framework used by the BLS, and find that the inclusion of our list of intangible assets makes a significant difference in the observed patterns of U.S.  economic growth.  The rate of change of output per worker increases more rapidly when intangibles are counted as capital, and capital deepening becomes the unambiguously dominant source of growth in labor productivity.  The role of multifactor productivity is correspondingly diminished, and labor's income share is found to have decreased significantly over the last 50 years"--Federal Reserve Board web site.
Notes: Title from PDF file as viewed on 12/7/2006.

Includes bibliographical references.

Also available in print.

System requirements: Adobe Acrobat Reader.

Mode of access: World Wide Web.