Measurement and Interpretation of Productivity -- Copyright -- Contents -- Acknowledgments -- REPORT -- 1 Introduction, Findings, and Recommendations -- INTRODUCTION -- FINDINGS AND RECOMMENDATIONS -- THE PRESENTATION AND INTERPRETATION OF PRODUCTIVITY MEASURES -- MEASUREMENT OF OUTPUT -- MEASUREMENT OF INPUTS -- Labor Input -- Capital Input -- Intermediate Inputs -- Multi-Factor Productivity Measures -- MEASUREMENT OF THE SOURCES OF PRODUCTIVITY CHANGE -- INTERAGENCY COOPERATION AND COORDINATION -- INTER-FIRM COMPARISONS -- INTERNATIONAL COMPARISONS OF OUTPUT AND PRODUCTIVITY -- 2 Uses, Misuses, and Limitations of Productivity Statistics -- THE NATURE OF PRODUCTIVITY MEASURES -- PRODUCTIVITY MEASURES AS INDEXES OF PERFORMANCE -- PRODUCTIVITY MEASURES, LIVING STANDARDS, AND INCOME DISTRIBUTION -- THE USE OF PRODUCTIVITY MEASURES IN FORECASTING AND BUSINESS CYCLE ANALYSIS -- ANALYZING THE SOURCES OF ECONOMIC GROWTH -- SOME LIMITATIONS OF PRODUCTIVITY MEASURES -- NOTES -- 3 Basic Productivity Concepts: Meaning and Measurement -- THE FRAMEWORK OF PRODUCTION THEORY -- MEASURES OF PRODUCTIVITY -- MEASURES OF PARTIAL PRODUCTIVITY -- MEASURES OF MULTI-FACTOR PRODUCTIVITY -- OUTPUT -- INPUTS -- NOTES -- 4 Government Measures of Productivity: Concepts, Methods, and Sources -- OVERVIEW OF GOVERNMENT MEASURES -- DATA SOURCES -- PROBLEMS OF MEASURING REAL OUTPUT -- ECONOMY-WIDE MEASURES -- REAL OUTPUT -- LABOR INPUT -- REVISIONS -- INDUSTRY DIVISIONS -- DATA SOURCES AND ESTIMATING METHODOLOGY -- RELIABILITY OF MEASURED CHANGES -- DETAILED INDUSTRY PROGRAM -- METHODS AND DATA SOURCES -- Benchmark Output Series -- Annual Output Measures -- Labor Input Measures -- LIMITATIONS -- PROGRAM TO MEASURE PRODUCTIVITY IN THE FEDERAL GOVERNMENT -- METHODOLOGY AND DATA SOURCES -- USES AND LIMITATIONS -- EXCLUSIONS FROM EXISTING MEASURES -- STATE AND LOCAL GOVERNMENT.

NOT-FOR-PROFIT SECTOR -- HOUSEHOLDS -- EXTERNAL EFFECTS AND OUTPUT -- NOTES -- 5 The Measurement of Output -- THE OUTPUT MEASURE -- DEFINING THE ACTIVITIES TO BE INCLUDED -- GUIDELINES FOR INCLUSION OR EXCLUSION -- NET VERSUS GROSS OUTPUT -- CAPITALIZATION OF INTANGIBLE INVESTMENT -- DIVIDING VALUE CHANGES BETWEEN CHANGES IN PRICES AND CHANGES IN REAL OUTPUT -- CURRENT PROCEDURES FOR MEASURING PRICE CHANGES -- TYPES OF QUALITY CHANGE -- CONCEPTUAL PROBLEMS IN THE MEASUREMENT OF QUALITY CHANGE -- THE CURRENT APPROACH OF GOVERNMENT AGENCIES -- METHODS OF MEASURING QUALITY CHANGES -- PROBLEMS IN MEASURING TYPE 1 QUALITY CHANGES -- Lateness in Introducing New Products -- Obsolete Models -- Change in the Prevalence of Discounting -- Omitted Products -- PROBLEMS IN MEASURING TYPE 2 QUALITY CHANGES -- PROBLEMS IN MEASURING TYPE 3 QUALITY CHANGES -- IMPORTANCE OF QUALITY ADJUSTMENTS FOR PRODUCTIVITY MEASUREMENT -- SUMMARY AND RECOMMENDATION -- NOTES -- 6 The Measurement of Inputs -- LABOR -- UNWEIGHTED LABOR INPUT -- Number of Workers -- Hours -- WEIGHTED LABOR INPUT -- PHYSICAL CAPITAL -- CONCEPTUAL PROBLEMS IN ESTIMATING REAL CAPITAL STOCKS -- The Basic Units of Real Stocks of Capital -- Gross Versus Net Depreciable Stock Measures -- Adjustments for Rates of Utilization -- Non-Depreciable Assets -- Treatment of Financial Assets -- Treatment of Leased Capital Goods -- ESTIMATING REAL CAPITAL INPUT -- STATISTICAL PROBLEMS -- INTERMEDIATE INPUTS -- MEASUREMENT PROBLEMS -- CONCLUSIONS -- MULTI-FACTOR PRODUCTIVITY MEASURES -- NOTES -- 7 Analyzing the Sources of Growth -- CONCEPTUAL FRAMEWORK -- EMPIRICAL EVIDENCE -- GROWTH-ACCOUNTING STUDIES -- 1948-1969 -- 1966-1977 -- MICRO-LEVEL STUDIES OF THE DETERMINANTS OF PRODUCTIVITY -- RECOMMENDATIONS -- NOTES -- 8 Measures of Productivity for Companies -- MEASUREMENT TO IMPROVE COMPANY PRODUCTIVITY.

MEASUREMENT PROBLEMS AND DATA SOURCES -- EXAMPLES -- ASSISTANCE FOR COMPANIES -- RESEARCH ON COMPANY PRODUCTIVITY -- INTERAGENCY COOPERATION -- NOTES -- 9 International Comparisons of Productivity -- COMPARISONS OF LEVELS OF OUTPUT AND PRODUCTIVITY -- INTERNATIONAL COMPARISONS OF CHANGES OVER TIME -- ANALYSES OF THE DATA -- CONCLUSIONS AND RECOMMENDATIONS -- NOTES -- Supplementary Statement -- References -- PAPERS -- Measurement Error in Productivity Statistics -- MEASUREMENT ERROR DEFINED -- OVERALL ERROR IN THE PRODUCTIVITY MEASURE -- MEASUREMENT ERROR AND BIAS -- AN ERROR MODEL FOR PRODUCTIVITY FOR THE PRIVATE BUSINESS SECTOR -- COMPUTER SIMULATION -- CASE A -- CASE B -- CASE C -- CASE D -- CASE E -- CASE F -- CASE G -- CASE H -- TAYLOR EXPANSION APPROXIMATION FOR OVERALL ERROR -- IMPLICATIONS FOR MEASURES OF PRODUCTIVITY CHANGE -- CONCLUSION -- REFERENCES -- Revisions in BLS Output per Hour -- INTRODUCTION -- REASONS FOR FREQUENT REVISIONS -- EVIDENCE FROM PAST REVISIONS -- CHARACTERISTICS OF REVISION ERROR -- COMPARISONS WITH PREVIOUS STUDIES -- FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS -- REFERENCES -- Measuring Outputs in Hospitals -- INTRODUCTION -- HOSPITAL PRODUCTIVITY -- ASSESSING OUTPUTS -- PROCESS MEASURES OF HOSPITAL CARE -- OUTCOME MEASURES OF HOSPITAL CARE -- ADJUSTING PROCESS AND OUTCOME MEASURES FOR DIFFERENCES IN PATIENT MIX -- PROCESS VERSUS OUTCOME MEASURES OF QUALITY OF CARE -- SUMMARY OF A STUDY OF SERVICES AND OUTCOMES IN HOSPITALS -- DATA AND METHODOLOGY -- THE MEASURES -- Outcomes of Care -- Measures of Services -- RESULTS: TIME TRENDS -- RESULTS: HOSPITAL DIFFERENCES AND THE RELATION BETWEEN SERVICES AND OUTCOMES -- CONCLUDING COMMENTS -- REFERENCES -- Welfare Dimensions of Productivity Measurement -- GENERAL CONSIDERATIONS CONCERNING WELFARE DIMENSIONS -- CONSUMPTION-PRIVATE AND PUBLIC.

THE PRODUCTION BOUNDARY IN THE NATIONAL ACCOUNTS -- PRIVATE OR PERSONAL CONSUMPTION IN THE NATIONAL ACCOUNTS -- CONSUMPTION THEORY -- QUALITY OF CONSUMER PRODUCTS -- CONSUMER KNOWLEDGE AND EFFICIENCY -- CONSUMER AND SOCIAL COSTS -- PUBLIC GOODS OR COLLECTIVE CONSUMPTION -- Public Safety -- Defense Outlays -- INCOME DISTRIBUTION -- THE WELFARE SYSTEM -- DO WAGE DIFFERENCES MEASURE DIFFERENCES IN PRODUCTIVITY AMONG WORKERS? -- QUALITY OF WORKING LIFE -- PRODUCTION CRITERIA AND WORKING CONDITIONS -- BEYOND ECONOMIC PRODUCTION CRITERIA -- ILLUSTRATIVE STUDIES ON WORKER WELFARE -- HOURS OF WORK AND USE OF TIME -- HEALTH FACILITIES -- THE ENVIRONMENT -- WELFARE EFFECTS -- DISTRIBUTION EFFECTS -- THE FEASIBILITY OF A SYSTEM OF SOCIAL AND ECONOMIC ACCOUNTS -- CONCLUDING NOTE -- REFERENCES -- A Note on the Form of the Production Function and Productivity -- INTRODUCTION -- ANALYSIS -- REFERENCES -- Accounting for Intermediate Input: The Link Between Sectoral and Aggregate Measures of Productivity Growth -- INTERMEDIATE INPUT -- PRODUCER BEHAVIOR -- TECHNICAL CHANGE -- AGGREGATION OVER SECTORS -- SECTORAL MODELS -- AGGREGATE MODEL -- AGGREGATION OVER ej -- AGGREGATION OVER ej* -- CONCLUSION -- REFERENCES -- Evaluation of Work-Force Composition Adjustment -- INTRODUCTION -- WORK-FORCE COMPOSITION -- CONCEPT AND DEFINITION -- A MODEL OF WORK-FORCE COMPOSITION -- SPECIFIC CHARACTERISTICS OF WORK-FORCE COMPOSITION -- Industry -- Occupation -- Employment Class -- Age -- Sex -- Education -- Experience -- DATA SOURCES FOR WORK-FORCE COMPOSITION -- AVAILABLE DATA -- CURRENT POPULATION SURVEY -- Current Employment Statistics (790) Survey -- Decennial Census -- Other Data Sources -- MEASUREMENT OF WORK-FORCE COMPOSITION: PREVIOUS STUDIES -- DENISON -- Method of Aggregation -- Data -- Results -- KENDRICK -- Method of Aggregation and Data -- Results.

GOLLOP AND JORGENSON -- Method of Aggregation -- Data -- Results -- WALDORF -- SUMMARY -- CONCLUSIONS AND RECOMMENDATIONS -- DIMENSION -- AGGREGATION -- DATA -- REFERENCES -- Comparison of Industry Output Measures in Manufacturing -- INTRODUCTION -- THE DATA SET AND TIME PERIODS -- ANALYSIS -- ANALYSIS FOR 1963-1967 -- ANALYSIS FOR 1968-1972 -- ANALYSIS OF 1973-1974 -- ANALYSIS FOR 1963-1974 -- POSSIBLE IMPLICATIONS OF FINDINGS -- SUMMARY RECOMMENDATIONS -- REFERENCES -- Data Adequacy for Productivity Analysis: A Case Study of the Primary Paper Industry -- INTRODUCTION -- MEASURES OF OUTPUT -- CENSUS PRODUCTION INDEXES -- Computational Methods -- BUREAU OF ECONOMIC ANALYSIS -- BEA Method for Measuring Output -- Biases Introduced by "Wherever-Made" Weights -- Comparison of BEA and CM -- BLS OUTPUT INDEXES -- 1939-1967 -- 1967-Forward -- Employee-Hour Weights -- Comparison with CM Indexes -- Price Deflators -- FEDERAL RESERVE BOARD INDEXES OF INDUSTRIAL PRODUCTION -- Computational Method -- CONCEPTUAL PROBLEMS -- BENCHMARK REVISIONS -- MATERIALS INPUT -- PRIMARY DATA ON MATERIALS CONSUMED -- BLS Producer Price Indexes -- Census Bureau Data -- Pulpwood Consumption -- Pulpwood Price Index -- Woodpulp Consumption -- BLS Woodpulp Producer Price Index -- Conclusions on Primary Data -- BEA UNPUBLISHED WORKSHEET ESTIMATES OF MATERIALS INPUT -- BEA Data Sources -- ESTIMATES OF REAL VALUE ADDED -- Deflating Materials Input -- Comparison with BEA Value Added -- SUMMARY AND RECOMMENDATIONS -- NOTATION -- REFERENCES -- Productivity Measurement in the Men's and Boys' Clothing Industry -- INTRODUCTION -- OUTPUT -- KINDS OF DATA AVAILABLE -- NET VERSUS GROSS OUTPUT -- WEIGHTED PRODUCTION INDEXES -- DEFLATED VALUE OF OUTPUT -- LABOR INPUT -- CAPITAL INPUT -- SUMMARY AND RECOMMENDATIONS -- Biographical Sketches of Panel Members and Staff.