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Growth accounting, potential output, and the current recession

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Author Info
John Fernald
Kyle Matoba

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Abstract

Total factor productivity - a measure of the efficiency with which labor and capital are used - has fallen during the current recession. But, after adjustment for lower utilization of labor and capital, such productivity has risen strongly over the past two years. These growth-accounting measures suggest that efficiency gains have continued during the recession, boding well for long-term economic growth.

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Publisher Info
Article provided by Federal Reserve Bank of San Francisco in its journal FRBSF Economic Letter.

Volume (Year): (2009)
Issue (Month): Aug 17 ()
Pages:
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Handle: RePEc:fip:fedfel:y:2009:i:aug17:n:2009-26

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Related research
Keywords: Productivity ; Labor productivity ; Capital investments;

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This page was last updated on 2009-12-31.

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