For release 10:00 a.m.(EDT) Tuesday, August 24, 2010 USDL-10-1171
Technical information: (202) 691-5606 dprweb@bls.gov www.bls.gov/mfp
Media contact: (202) 691-5902 PressOffice@bls.gov
MULTIFACTOR PRODUCTIVITY TRENDS - 2008
Private nonfarm business sector multifactor productivity increased at a 0.1
percent annual rate in 2008, the U.S. Bureau of Labor Statistics reported
today. (See chart 1, table A.) This was the slowest gain in multifactor
productivity since 1995. (See table 1.) Multifactor productivity measures
the change in output per unit of combined inputs of labor and capital.
Multifactor productivity is designed to measure the joint influences on
economic growth of technological change, efficiency improvements, returns
to scale, reallocation of resources, and other factors, allowing for the
effects of capital and labor. Multifactor productivity, therefore, differs
from labor productivity (output per hour worked) measures that are published
quarterly by BLS since it includes information on capital services and other
data that are not available on a quarterly basis. Additionally, multifactor
productivity measures for the private business and private nonfarm business
sectors account for shifts in the composition of labor. Estimates of labor
composition are not included in the quarterly labor productivity measures.
The modest multifactor productivity gain in 2008 reflected a 0.2 percent
decrease in output and a 0.3 percent decrease in the combined inputs of
capital and labor. Capital services grew by 2.8 percent, the slowest rate
of growth since 2004. Labor input fell 1.7 percent, the largest decline
since 2002.
Private business sector multifactor productivity grew 0.1 percent in 2008,
the slowest annual growth rate since 1995. The multifactor productivity
gain in 2008 reflected no change in the growth rate of output and a 0.1
percent decrease in the combined inputs of capital and labor.
Historical trends in private nonfarm business
Multifactor productivity in private nonfarm business grew 1.0 percent
annually between 1987 (the starting year of the series) and 2008.
(See table A.) Output increased at a 3.2 percent annual rate over that
period and combined inputs of labor and capital rose an average of 2.2
percent per year. Output per hour worked (labor productivity) grew at
a 2.2 percent rate. For the 2000-2007 period, multifactor productivity
in private nonfarm business rose more rapidly than in previous periods,
averaging 1.4 percent per year, slightly outpacing the 1.3 percent growth
rate during the 1995-2000 period.
Historical trends in labor productivity growth can be viewed as the sum
of three components: multifactor productivity growth, the contribution of
increased capital intensity, and the contribution of shifts in labor
composition. The relationship between labor productivity growth and these
three components can be seen in table B and chart 2. Chart 2 shows how
relative to output per hour, contributions of multifactor productivity and
of capital intensity increased during the latter half of the 1990s. These
contributions have continued to be relatively high over the 2000-2007 period.
Of the 2.2 percent growth rate in labor productivity for the 1987-2008 period,
1.0 percent can be attributed to increases in multifactor productivity, 0.9
percent to the contribution of capital intensity, and 0.3 percent to changes
in labor composition. (See table B.)
Previous and revised multifactor productivity data for 1987-2008 for the
private nonfarm business sector are displayed in table C. The differences
in 2008 are largely due to the fact that previous results were based on
preliminary information. The 0.1-percent change in multifactor productivity
growth for the private nonfarm business sector is much lower than the
1.1-percent change reported on May 6, 2009, based on preliminary information.
This downward revision was due to output being revised down to a decline of
0.2 percent from an increase of 0.8 percent.
Table A. Compound average growth rates for productivity, output, and inputs
in the private nonfarm business and private business sectors for selected
periods,1987-2008
In percent
1987- 1987- 1990- 1995- 2000- 2007-
2008 1990 1995 2000 2007 2008
Private nonfarm business1
Productivity
Multifactor Productivity2 1.0 0.5 0.5 1.3 1.4 0.1
Output per hour of all
persons 2.2 1.5 1.6 2.8 2.7 2.1
Output per unit of
capital services -0.8 -0.4 -0.5 -1.1 -0.6 -2.8
Output 3.2 3.2 2.9 5.0 2.7 -0.2
Inputs
Combined inputs3 2.2 2.7 2.4 3.6 1.3 -0.3
Labor input4 1.4 2.3 2.0 2.5 0.4 -1.7
Hours 1.0 1.7 1.3 2.2 0.0 -2.2
Labor Composition5 0.5 0.6 0.7 0.3 0.3 0.5
Capital services 4.1 3.7 3.4 6.2 3.4 2.8
Analytic ratio
Capital services per
hour of all persons 3.0 1.9 2.0 3.9 3.4 5.1
Private business1
Productivity
Multifactor Productivity2 1.1 0.6 0.4 1.5 1.5 0.1
Output per hour of all
persons 2.3 1.6 1.5 2.9 2.7 2.1
Output per unit of
capital services -0.7 -0.4 -0.3 -0.9 -0.5 -2.6
Output 3.2 3.2 2.9 5.0 2.7 0.0
Inputs
Combined inputs3 2.2 2.6 2.4 3.4 1.2 -0.1
Labor input4 1.4 2.1 2.0 2.3 0.3 -1.5
Hours 0.9 1.6 1.3 2.0 0.0 -2.1
Labor Composition5 0.5 0.6 0.7 0.3 0.3 0.6
Capital services 3.9 3.6 3.2 6.0 3.3 2.7
Analytic ratio
Capital services per
hour of all persons 3.0 2.0 1.8 3.9 3.3 4.9
1. Excludes government enterprises.
2. Output per unit of combined labor and capital inputs.
3. The growth rate of each input is weighted by its share of nominal costs,
4. Index of hours at work; hours at work by age, education, and gender group
group are weighted by each group’s share of labor compensation.
5. Ratio of labor input to hours.
Table B. Compound annual growth rates in output per hour of all persons
and the contributions of capital intensity, labor composition, and
multifactor productivity in the private nonfarm business and private
business sectors for selected periods, 1987-2008
In percent
1987- 1987- 1990- 1995- 2000- 2007-
2008 1990 1995 2000 2007 2008
Private nonfarm business1
Output per hour
of all persons 2.2 1.5 1.6 2.8 2.7 2.1
Contribution of
capital intensity2 0.9 0.6 0.6 1.2 1.0 1.6
Contribution of
information processing
equipment and software3 0.6 0.5 0.5 0.9 0.6 0.7
Contribution of all
other capital services 0.3 0.1 0.1 0.2 0.4 1.0
Contribution of
labor composition4 0.3 0.4 0.5 0.2 0.2 0.3
Multifactor productivity5 1.0 0.5 0.5 1.3 1.4 0.1
Contribution of R&D to
multifactor productivity 0.2 0.2 0.2 0.2 0.2 0.2
Private business1
Output per hour
of all persons 2.3 1.6 1.5 2.9 2.7 2.1
Contribution of
capital intensity2 0.9 0.6 0.6 1.2 1.0 1.6
Contribution of
information processing
equipment and software3 0.6 0.5 0.5 0.9 0.6 0.6
Contribution of all
other capital services 0.3 0.1 0.1 0.2 0.4 1.0
Contribution of
labor composition4 0.3 0.4 0.5 0.2 0.2 0.4
Multifactor productivity5 1.1 0.6 0.4 1.5 1.5 0.1
1. Excludes government enterprises.
2. Growth rate in capital services per hour multiplied by capital's share of
current dollar costs.
3. Growth rate of information processing equipment and software per hour
multiplied by its share of current dollar costs.
4. Growth rate of labor composition (the growth rate of labor input less the
growth rate of the hours of all persons) multiplied by labor's share of
current dollar costs.
5. Output per unit of combined labor and capital inputs.
Multifactor productivity plus contribution of capital intensity and
labor composition may not sum to output per hour due to independent
rounding. Contribution of information processing equipment and all other
capital may not sum to the contribution of capital intensity due to
independent rounding.
Table C. Annual growth rates of the preliminary and revised multifactor
productivity measures in the private nonfarm business sector for the
1987-2008 period
Percent change from previous year
Multifactor Productivity
Year Preliminary Revised
1988 1.0 1.0
1989 0.0 0.1
1990 0.4 0.4
1991 -0.8 -0.9
1992 2.4 2.3
1993 0.2 0.3
1994 0.8 0.7
1995 0.1 0.0
1996 1.4 1.4
1997 0.7 0.6
1998 1.3 1.5
1999 1.3 1.6
2000 1.1 1.6
2001 0.4 0.7
2002 2.1 2.4
2003 2.6 2.5
2004 2.6 2.6
2005 1.3 1.0
2006 0.5 0.4
2007 0.2 0.5
2008 1.1 0.1
TECHNICAL NOTES
Capital Input: Capital input measures the services derived from the stock of
physical assets and software. The assets included are fixed business
equipment, structures, inventories, and land. Among equipment, BLS provides
additional detail for information processing equipment and software (IPES).
IPES is composed of four broad classes of assets: computers and related
equipment, software, communications equipment, and other IPES equipment.
Computers and related equipment includes mainframe computers, personal
computers, printers, terminals, tape drives, storage devices, and integrated
systems. Software is comprised of pre-packaged, custom, and own-account
software. Communications equipment is not further differentiated. Other IPES
includes medical equipment and related instruments, electromedical instruments,
nonmedical instruments, photocopying and related equipment, and office and
accounting machinery. Structures include nonresidential structures and
residential capital that are rented out by profit-making firms or persons.
Financial assets are excluded from capital input measures, as are
owner-occupied residential structures. The aggregate capital input measures
are obtained by Tornqvist aggregation of the capital stocks for each asset
type within each of 60 NAICS industry groupings using estimated rental prices
for each asset type. Each rental price reflects the nominal rate of return
to all assets within the industry and rates of economic depreciation and
revaluation for the specific asset; rental prices are adjusted for the effects
of taxes. Current-dollar capital costs can be defined as each asset’s rental
price multiplied by its constant-dollar stock, adjusting for capital
composition effects. Data on investments in physical assets are obtained
from BEA. Data on inventories are obtained from BEA using additional
information from IRS Corporation Income Returns. Estimates for land in the
farm sector are obtained from USDA. Nonfarm industry detail is based on IRS
book value data. Current-dollar gross product originating (GPO) data,
obtained from BEA, are used in estimating capital rental prices.
Labor Input: Labor input in private business and private nonfarm business
is obtained by chained superlative (Tornqvist) aggregation of the hours at
work by all persons, classified by age, education, and gender with weights
determined by their shares of labor compensation. Hours paid of employees
are largely obtained from the Current Employment Statistics program (CES).
These hours of employees are then converted to an at-work basis by using
information from the Employment Cost Index (ECI) of the National Compensation
Survey (NCS) and the Hours at Work Survey. Hours at work for nonproduction
and supervisory workers are derived using data from the CPS, the CES, and
the NCS. The hours at work of proprietors, unpaid family workers, and farm
employees are derived from the Current Population Survey. Hours at work
data reflect Productivity and Costs data as of the June 3, 2010 news release.
The growth rate of labor composition is defined as the difference between
the growth rate of weighted labor input and the growth rate of the hours of
all persons. Additional information concerning data sources and methods of
measuring labor composition can be found in Cindy Zoghi, 2007, Measuring Labor
Composition: A Comparison of Alternate Methodologies
http://www.bls.gov/bls/fesacp1121407.pdf.
Combined Inputs: Labor and capital input are combined using Tornqvist
aggregation, employing weights that represent each component's share of
total costs. Total costs are defined as the value of output
(Gross Product Originating) less a portion of taxes on production and imports.
Most taxes on production and imports, such as excise taxes, are excluded from
costs; however, property and motor vehicle taxes remain in total costs. The
index uses changing weights: The share in each year is averaged with the
preceding year's share.
Productivity: The private nonfarm business and private nonfarm business
multifactor productivity measures describe the relationship between output in
real terms and the inputs involved in its production. They do not measure
the specific contributions of labor, capital, or any other factor of
production. Rather, multifactor productivity is designed to measure the
joint influences of output, capital, and labor on economic growth of
technological change, efficiency improvements, returns to scale, reallocation
of resources due to shifts in factor inputs across industries, and other
factors.
The multifactor productivity indexes for private business and private
nonfarm business are derived by dividing an output index by an
index of labor input and capital services. The output indexes are computed
as chained superlative indexes (Fisher Ideal indexes) of components of real
output. For the years 1987 to 2008, BEA supplies the output indexes. BLS
adjusts these to remove the output of government enterprises.
Output: This release presents data for the private business and private
nonfarm business sectors. The private business sector, which accounted for
approximately 76 percent of gross domestic product in 2005, includes all of
gross domestic product except the output of general government, government
enterprises, non-profit institutions, the rental value of owner-occupied
real estate, and the output of paid employees of private households.
Additionally, the private nonfarm business sector excludes farms from the
private business sector, but includes agricultural services. Multifactor
measures exclude government enterprises, while the BLS quarterly Productivity
and Cost series include them. The output measures reflect the revised National
Income and Product Accounts (NIPA) data released by BEA on July 31, 2009 but
do not reflect the revised data released by BEA on July 30, 2010.
Research and development: The stock of research and development in private
nonfarm business is derived by cumulating constant dollar measures of research
and development expenditures and allowing for depreciation. Current dollar
expenditures for privately financed research and development for the years
1987-2008 are obtained from annual issues of Research and Development in
Industry published by the National Science Foundation. BLS develops price
deflators and estimates of the rate of depreciation. Further description of
these data and methods can be found in BLS Bulletin 2331 (September 1989),
"The Impact of Research and Development on Productivity Growth." BLS
measures of year-to-year contributions of research and development to the
private nonfarm business sector and measures of the stock of research and
development are available at http://www.bls.gov/mfp/rdtable.pdf .
Other information: Comprehensive tables containing additional data beyond
the scope of this press release are available upon request at 202-691-5606
or at http://www.bls.gov/mfp/mprdload.htm . More detailed information on
methods, limitations, and data sources of capital and labor are provided
in BLS Bulletin 2178 (September 1983), Trends in Multifactor Productivity,
1948-81 and on the BLS Multifactor Productivity website under the title
“Technical Information About the BLS Multifactor Productivity Measures”
for Major Sectors and 18 NAICS 3-digit Manufacturing Industries at
http://www.bls.gov/mfp/mprtech.pdf. General information is available on
the BLS Multifactor Productivity website at
http://www.bls.gov/mfp/mprover.htm. Additional data not contained in the
release can be obtained in print or at http://www.bls.gov/mfp. A number
of comprehensive tables set up as zip files can be obtained at
http://www.bls.gov/mfp/mprdload.htm. Included in the additional data
available in the home page is a zip file containing selected multifactor
productivity data that links 1948-87 SIC data to NAICS data from 1987 forward.
This file includes data for the private business and private nonfarm business
sectors.
Table 1. Private nonfarm business sector: productivity and related measures
for the 1987-2008 period1
Percent change from previous year
Output Combined
per Output Multi- units of
hour per factor Capital capital Capital
of all unit of Product- Labor Serv- and per hour of
Year persons capital ivity2 Output3 Input4 ices5 labor6 all persons
1988 1.7 0.9 1.0 4.6 3.5 3.7 3.5 0.8
1989 0.8 -0.3 0.1 3.5 3.3 3.9 3.5 1.1
1990 1.9 -1.9 0.4 1.4 0.1 3.4 1.0 3.8
1991 1.7 -3.6 -0.9 -0.9 -1.1 2.9 0.0 5.5
1992 4.0 1.3 2.3 3.8 1.0 2.5 1.5 2.7
1993 0.7 0.4 0.3 3.6 3.3 3.2 3.3 0.3
1994 1.1 0.9 0.7 4.7 4.1 3.7 4.0 0.1
1995 0.5 -1.2 0.0 3.3 2.7 4.5 3.2 1.7
1996 2.6 -0.4 1.4 4.4 2.2 4.9 3.0 3.0
1997 1.5 -0.4 0.6 5.1 4.0 5.5 4.5 1.9
1998 3.0 -1.2 1.5 5.2 2.4 6.6 3.6 4.3
1999 3.3 -1.4 1.6 5.6 2.6 7.1 3.9 4.7
2000 3.4 -2.2 1.6 4.5 1.2 6.8 2.8 5.8
2001 3.1 -3.9 0.7 1.0 -1.6 5.1 0.3 7.3
2002 4.7 -1.5 2.4 1.9 -2.0 3.5 -0.5 6.2
2003 3.7 0.2 2.5 3.1 -0.4 2.9 0.6 3.5
2004 2.8 1.7 2.6 4.2 1.2 2.4 1.5 1.1
2005 1.7 0.1 1.0 3.4 1.9 3.3 2.4 1.5
2006 1.0 -0.2 0.4 3.2 2.5 3.4 2.8 1.2
2007 1.9 -0.9 0.5 2.4 1.2 3.3 1.9 2.8
2008 2.1 -2.8 0.1 -0.2 -1.7 2.8 -0.3 5.1
See footnotes following table 4.
Source: Bureau of Labor Statistics
Table 2. Private business sector: productivity and related measures
for the 1987-2008 period1
Percent change from previous year
Output Combined
per Output Multi- units of
hour per factor Capital capital Capital
of all unit of Product- Labor Serv- and per hour of
Year persons capital ivity2 Output3 Input4 ices5 labor6 all persons
1988 1.6 0.5 0.8 4.4 3.4 3.8 3.5 1.1
1989 1.0 -0.1 0.3 3.7 3.2 3.8 3.4 1.1
1990 2.2 -1.6 0.7 1.5 -0.1 3.1 0.9 3.8
1991 1.6 -3.4 -0.9 -0.8 -1.0 2.7 0.1 5.2
1992 4.2 1.6 2.5 4.0 1.0 2.3 1.4 2.5
1993 0.6 0.3 0.2 3.3 3.1 3.1 3.1 0.4
1994 0.9 1.2 0.7 4.9 4.5 3.6 4.2 -0.3
1995 0.1 -1.4 -0.3 2.9 2.7 4.4 3.2 1.6
1996 2.9 -0.1 1.7 4.6 2.0 4.6 2.8 3.0
1997 1.7 -0.1 0.8 5.2 3.9 5.3 4.4 1.9
1998 3.0 -1.2 1.5 5.1 2.3 6.4 3.5 4.3
1999 3.5 -1.2 1.8 5.6 2.4 6.9 3.7 4.7
2000 3.5 -1.9 1.7 4.6 1.2 6.6 2.8 5.5
2001 3.2 -3.8 0.8 0.9 -1.8 5.0 0.2 7.3
2002 4.6 -1.3 2.4 2.0 -1.9 3.4 -0.4 6.0
2003 3.9 0.4 2.6 3.1 -0.5 2.8 0.5 3.5
2004 2.9 1.6 2.6 4.2 1.1 2.5 1.5 1.3
2005 1.7 0.2 1.0 3.4 1.9 3.2 2.3 1.5
2006 1.0 0.0 0.5 3.1 2.3 3.1 2.6 1.0
2007 1.8 -0.8 0.5 2.3 1.1 3.1 1.8 2.6
2008 2.1 -2.6 0.1 0.0 -1.5 2.7 -0.1 4.9
See footnotes following table 4.
Source: Bureau of Labor Statistics
Table 3. Private nonfarm business sector: Indexes of productivity and related
measures, 1987-2008
Indexes 2005=100
Output Combined
per Output Multi- units of
hour per factor Capital capital Capital
of all unit of Product- Labor Serv- and per hour of
Year persons capital ivity2 Output3 Input4 ices5 labor6 all persons
1987 66.1 113.6 82.1 54.2 75.6 47.7 66.0 58.2
1988 67.2 114.6 83.0 56.7 78.3 49.4 68.3 58.6
1989 67.7 114.2 83.0 58.7 80.9 51.4 70.7 59.3
1990 69.0 112.1 83.3 59.5 80.9 53.1 71.4 61.5
1991 70.2 108.1 82.6 59.0 80.0 54.6 71.4 64.9
1992 73.0 109.5 84.5 61.3 80.8 56.0 72.5 66.7
1993 73.4 109.9 84.8 63.5 83.5 57.8 74.9 66.8
1994 74.2 110.9 85.4 66.5 87.0 59.9 77.9 66.9
1995 74.6 109.6 85.4 68.6 89.3 62.6 80.4 68.1
1996 76.5 109.1 86.5 71.7 91.3 65.7 82.8 70.1
1997 77.6 108.7 87.1 75.3 94.9 69.3 86.5 71.4
1998 80.0 107.3 88.4 79.3 97.2 73.9 89.7 74.5
1999 82.6 105.9 89.9 83.7 99.8 79.1 93.2 78.0
2000 85.4 103.5 91.3 87.5 101.0 84.5 95.8 82.5
2001 88.1 99.5 91.9 88.4 99.4 88.8 96.1 88.6
2002 92.2 98.0 94.2 90.1 97.4 91.9 95.7 94.1
2003 95.7 98.2 96.5 92.8 97.0 94.5 96.2 97.4
2004 98.4 99.9 99.0 96.7 98.1 96.8 97.7 98.5
2005 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
2006 101.0 99.8 100.4 103.2 102.5 103.4 102.8 101.2
2007 102.9 98.9 100.9 105.6 103.7 106.8 104.7 104.0
2008 105.0 96.1 101.0 105.5 101.9 109.7 104.4 109.3
See footnotes following table 4.
Source: Bureau of Labor Statistics
Table 4. Private business sector: Indexes of productivity and related
measures, 1987-2008
Indexes 2005=100
Output Combined
per Output Multi- units of
hour per factor Capital capital Capital
of all unit of Product- Labor Serv- and per hour of
Year persons capital ivity2 Output3 Input4 ices5 labor6 all persons
1987 65.2 111.0 81.1 54.1 76.5 48.8 66.7 58.8
1988 66.3 111.6 81.8 56.5 79.0 50.6 69.0 59.4
1989 67.0 111.5 82.0 58.6 81.6 52.5 71.4 60.1
1990 68.4 109.7 82.6 59.5 81.5 54.2 72.0 62.3
1991 69.5 106.0 81.8 59.0 80.7 55.6 72.1 65.6
1992 72.5 107.8 83.9 61.4 81.5 56.9 73.1 67.2
1993 72.9 108.0 84.1 63.4 84.0 58.7 75.4 67.5
1994 73.6 109.4 84.7 66.5 87.8 60.8 78.6 67.3
1995 73.7 107.8 84.4 68.5 90.1 63.5 81.1 68.3
1996 75.8 107.8 85.9 71.6 91.9 66.4 83.4 70.3
1997 77.1 107.6 86.6 75.3 95.5 70.0 87.0 71.7
1998 79.5 106.4 87.9 79.2 97.7 74.4 90.1 74.7
1999 82.3 105.2 89.5 83.6 100.0 79.5 93.4 78.2
2000 85.2 103.1 91.0 87.4 101.2 84.8 96.0 82.6
2001 87.9 99.2 91.7 88.2 99.5 89.0 96.2 88.6
2002 91.9 97.8 93.9 90.0 97.5 92.0 95.8 94.0
2003 95.5 98.2 96.4 92.8 97.1 94.5 96.2 97.3
2004 98.3 99.8 99.0 96.7 98.1 96.9 97.7 98.5
2005 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
2006 101.0 100.0 100.5 103.1 102.3 103.1 102.6 101.0
2007 102.9 99.3 101.0 105.5 103.5 106.2 104.4 103.6
2008 105.0 96.7 101.1 105.4 102.0 109.1 104.3 108.7
See footnotes following table 4.
Source: Bureau of Labor Statistics
Footnotes, Tables 1-4
Source: BLS develops productivity measures using output data published by
the Bureau of Economic Analysis (BEA), compensation and hours data published
by other Bureau of Labor Statistics (BLS) programs, and capital data supplied
by BEA and U.S. Department of Agriculture. Also see Technical Notes in this
release.
(1) The private business sector includes all of gross domestic product except
the output of general government, government enterprises, non-profit
institutions, the rental value of owner-occupied real estate, and the
output of paid employees of private households. 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, superlative chained
index.
(4) Index of hours at work of all persons including employees, proprietors,
and unpaid family workers, classified by age, education, and gender.
This superlative chain index is computed by combining changes in the hours
of each age, education, and gender group weighted by each group’s share of
labor compensation.
(5) A measure of the flow of capital services used in the sector. Capital
services measure the services derived from the stock of physical assets and
software. The assets included are fixed business equipment, structures,
inventories, and land.
(6) Labor input combined with capital input are weighted with labor's and
capital's share of current dollar costs to form a superlative chained
index.
Table 5. Compound average annual growth rates in real capital services
by asset type, private nonfarm business sector, 1987-2008
In percent
1987- 1987- 1990- 1995- 2000- 2007-
2008 1990 1995 2000 2007 2008
All Assets 4.1 3.7 3.4 6.2 3.4 2.8
Equipment 6.1 4.9 5.1 9.9 5.1 3.8
All Information 11.1 10.9 9.6 17.6 8.3 6.7
Processing
Equipment & Software
(IPES)
Computers & 21.3 19.0 16.2 40.5 14.5 13.8
related equipment
Software 12.6 17.8 13.5 16.8 8.1 5.7
Communications 6.9 6.1 5.3 10.3 6.3 5.1
equipment
Other IPES 4.2 3.0 4.2 3.9 4.6 5.4
All other equipment 2.2 2.2 1.9 3.2 1.9 1.6
Structures 2.0 2.8 2.0 2.2 1.5 1.9
Residential rental 1.5 2.1 1.2 1.7 1.5 0.5
capital
Inventories 2.7 3.2 2.2 3.9 2.2 0.5
Land 1.6 1.8 1.3 1.7 1.5 2.4
Source: Bureau of Labor Statistics
Note: For a brief discussion of methods used in preparing these data,
see Summary of Methods in this release.
Table 6. Compound average annual growth rates in real capital services
by asset type, private business sector, 1987-2008
In percent
1987- 1987- 1990- 1995- 2000- 2007-
2008 1990 1995 2000 2007 2008
All Assets 3.9 3.6 3.2 6.0 3.3 2.7
Equipment 6.0 4.6 4.9 9.8 5.1 3.8
All Information 11.1 10.9 9.6 17.6 8.3 6.7
Processing
Equipment & Software
(IPES)
Computers & 21.3 19.1 16.2 40.5 14.5 13.8
related equipment
Software 12.6 17.8 13.5 16.7 8.1 5.7
Communications 6.9 6.1 5.3 10.3 6.3 5.1
equipment
Other IPES 4.2 3.0 4.3 3.9 4.6 5.4
All other equipment 2.1 2.2 1.8 3.1 1.8 1.6
Structures 1.9 2.7 1.9 2.1 1.4 1.9
Residential rental 1.5 2.1 1.2 1.7 1.5 0.5
capital
Inventories 2.5 2.8 2.2 3.8 2.1 0.4
Land 1.5 3.2 1.4 1.2 0.9 1.8
Source: Bureau of Labor Statistics
Note: For a brief discussion of methods used in preparing these data,
see Summary of Methods in this release.
United States Department of Labor
