Multifactor productivity for manufacturing industries, 2011

September 30, 2013

Multifactor productivity—defined as output per unit of combined inputs—increased in 55 of the 86 four-digit NAICS manufacturing industries in 2011.

Industry multifactor productivity and related data, percent change, 2010-2011
Percent change in output, combined inputs, and multifactor productivity in selected manufacturing industries, 2010–2011
Manufacturing industryCombined inputsOutputMultifactor productivity

Motor vehicles

17.611.6-5.1

Medical equipment and supplies

2.2-1.6-3.8

Computer and peripheral equipment

-25.9-28.5-3.6

Communications equipment

2.55.73.1

Pharmaceuticals and medicines

-2.62.04.7

Household appliances

-6.9-2.15.1

Agriculture, construction, and mining machinery

11.417.55.5

Turbine and power transmission equipment

11.319.67.4

Industrial machinery

5.213.17.5

Electric lighting equipment

-3.76.210.3

Three manufacturing industries recorded double-digit percent increases in multifactor productivity: semiconductors and electronic components, other transportation equipment, and electric lighting equipment.

Increases in output were particularly large in turbine and power transmission equipment; metalworking machinery; agriculture, construction, and mining machinery; railroad rolling stock; and audio and video equipment. Multifactor productivity rose in each of those industries. Output declined the most in computer and peripheral equipment and in apparel knitting mills.

Multifactor productivity indexes relate the change in real output to the change in the combined inputs of labor, capital, and intermediate purchases consumed in producing that output. Multifactor productivity growth measures the extent to which output growth has exceeded the growth in inputs, and reflects the joint influences on economic growth of a variety of factors that are not specifically accounted for on the input side, including technological change, returns to scale, enhancements in managerial and staff skills, changes in the organization of production, and other efficiency improvements.

These data are from the Multifactor Productivity program. To learn more, see "Multifactor Productivity Trends for Detailed Industries — 2011" (HTML) (PDF), news release USDL-13-1941. 

SUGGESTED CITATION

Bureau of Labor Statistics, U.S. Department of Labor, The Editor's Desk, Multifactor productivity for manufacturing industries, 2011 on the Internet at http://www.bls.gov/opub/ted/2013/ted_20130930.htm (visited August 30, 2014).

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