Presentation on theme: "Multifactor productivity and drivers of Growth at industry level, The Danish Case Martin Junge Thomas V. Pedersen."— Presentation transcript:
Multifactor productivity and drivers of Growth at industry level, The Danish Case Martin Junge Thomas V. Pedersen
Background Computing MFP in Denmark Comparing MFP across industries and periods International MFP study using value added 5 leading growth drivers
Methodology Growth Accounting (KLEMS) –Five types of capital Machines (incl. Computers), vehicles, buildings, constructions, other (mainly software) –One type of labour –52 industries (42 in the private sector) symmetric IO tables –34 periods, 1966 – 1999 –Hedonic priceindices (US indices)
Results Focus MFP Aggregate, subsector and subperiods results. Some results from previous studies (international) –Acceleration in MFP in 1990s –ICT producing sectors important –Wholesale and retail trade important
Augmenting growth accounting Quality of Labour –Compared mfp growth to growth in quality adjusted labour index. Short period and less disaggregated. –Little impact Measuring hours –Here we basically use number of heads plus average hours worked in manufacturing. Short period other data available. –Major impact
Conclusion Subperiods important Acceleration in MFP growth from 1980s to 1990s After industry decomposition, private services and in particular wholesale and retail trade are the most important. While the new economy is less important.