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Multifactor productivity fell in 61 of 86 manufacturing industries in 2019

August 30, 2021

Multifactor productivity (defined as output per unit of combined inputs) fell in 61 of the 86 manufacturing industries in 2019. It declined by 7.0 percent or more in 3 manufacturing industries, while 3 industries posted multifactor productivity gains greater than 5.0 percent.

Percent change in multifactor productivity, output, and combined inputs, selected industries, 2018–2019
Industry Multifactor productivity     Output     Combined inputs

Leather and hide tanning and finishing

8.8% -3.5% -11.2%

Apparel knitting mills

5.4 -4.2 -9.0

Computer and peripheral equipment

5.3 2.0 -3.2

Soaps, cleaning compounds, and toiletries

4.6 5.3 0.6

Other textile product mills

4.3 4.9 0.6

Other nonferrous metal production

3.6 0.3 -3.1

Alumina and aluminum production

3.4 -2.6 -5.8

Grain and oilseed milling

3.3 -0.1 -3.2

Other food products

3.0 4.5 1.5

Cut and sew apparel

2.6 3.3 0.7

Communications equipment

2.3 1.2 -1.1

Dairy products

1.8 -1.3 -3.0

Bakeries and tortilla products

1.7 1.1 -0.5

Animal food

1.7 -3.7 -5.3

Electrical equipment

1.5 3.2 1.7

Electronic instruments

-4.3 -1.4 3.0

Machine shops and threaded products

-4.6 -4.5 0.1

Boilers, tanks, and shipping containers

-4.7 -1.1 3.8

Clay products and refractories

-4.8 -3.9 1.0

Other chemical products and preparations

-4.9 -7.1 -2.4

Printing and related support activities

-5.1 -5.7 -0.6

Spring and wire products

-5.2 -6.0 -0.8

Household and institutional furniture

-5.6 -7.6 -2.2

Metalworking machinery

-5.6 -7.9 -2.4

Steel products from purchased steel

-5.8 -5.4 0.5

Paints, coatings, and adhesives

-5.9 -6.3 -0.4

Resin, rubber, and artificial fibers

-7.2 -10.0 -2.9

Magnetic media manufacturing and reproducing

-7.8 -15.5 -8.3

Other leather products

-8.3 -5.5 3.1

Multifactor productivity in other leather products decreased 8.3 percent, as output decreased 5.5 percent, and combined inputs increased 3.1 percent. Multifactor productivity in magnetic media manufacturing and reproducing was down 7.8 percent, as output decreased 15.5 percent and combined inputs decreased 8.3 percent. In resin, rubber, and artificial fibers, multifactor productivity decreased 7.2 percent, as output was down 10.0 percent and combined inputs decreased 2.9 percent.

Multifactor productivity increased 8.8 percent in leather and hide tanning and finishing in 2019, as output declined 3.5 percent, but combined inputs decreased 11.2 percent. In apparel knitting mills, multifactor productivity increased 5.4 percent as output decreased by 4.2 percent and combined inputs decreased 9.0 percent. In computer and peripheral equipment, multifactor productivity was up 5.3 percent, as output increased 2.0 percent and combined inputs decreased 3.2 percent.

These data are from the Multifactor Productivity program. To learn more, see "Multifactor Productivity Trends for Detailed Industries — 2019." Multifactor productivity, also known as total factor productivity, is a measure of economic performance that compares the amount of goods and services produced to the amount of combined inputs used to produce those goods and services. Inputs can include labor, capital, energy, materials, and purchased services.

SUGGESTED CITATION

Bureau of Labor Statistics, U.S. Department of Labor, The Economics Daily, Multifactor productivity fell in 61 of 86 manufacturing industries in 2019 at https://www.bls.gov/opub/ted/2021/multifactor-productivity-fell-in-61-of-86-manufacturing-industries-in-2019.htm (visited November 27, 2021).

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