Measuring productivity increase by long-run prices: The early analyses of G.R. Porter and R. Giffen
AbstractThe 19th century economic commentators did not possess a formal measure of the rate at which productivity was increasing during the industrial take-off. Yet they did develop an intuitive method based on the comparative change in prices and wages. This paper reviews the contributions of G.R. Porter and R. Giffen and, in the light of some modern contributions, presents an assessment of their rationality and improvability under current standards. It is argued, in particular, that a proper measure of industrial productivity increase based on the change in real earnings rates is the mathematical dual of a Solovian measure of the industrial Total Factor Productivity growth.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 18272.
Date of creation: 31 Aug 2009
Date of revision:
productivity growth; TFP: cost function; real wages; income distribution.;
Other versions of this item:
- Arrigo Opocher, 2010. "Measuring productivity increase by long-run prices: the early analyses of G.R. Porter and R. Giffen," European Journal of the History of Economic Thought, Taylor and Francis Journals, vol. 17(5), pages 1271-1291.
- D33 - Microeconomics - - Distribution - - - Factor Income Distribution
- B16 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Quantitative and Mathematical
- D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
This paper has been announced in the following NEP Reports:
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lydall, Harold, 1969. "On Measuring Technical Progress," Australian Economic Papers, Wiley Blackwell, vol. 8(12), pages 1-12, June.
- Dale W. Jorgenson, 1991. "Productivity and Economic Growth," NBER Chapters, in: Fifty Years of Economic Measurement: The Jubilee of the Conference on Research in Income and Wealth, pages 19-118 National Bureau of Economic Research, Inc.
- Heinz Kurz, 2010. "Technical progress, capital accumulation and income distribution in Classical economics: Adam Smith, David Ricardo and Karl Marx," European Journal of the History of Economic Thought, Taylor and Francis Journals, vol. 17(5), pages 1183-1222.
- Arrigo Opocher, 2010.
"The future of the working classes: a comparison between J.S. Mill and A. Marshall,"
European Journal of the History of Economic Thought,
Taylor and Francis Journals, vol. 17(2), pages 229-253.
- Arrigo Opocher, 2008. "The Future of the Working Classes: A Comparison Between J.S. Mill and A. Marshall," "Marco Fanno" Working Papers 0078, Dipartimento di Scienze Economiche "Marco Fanno".
- Opocher, Arrigo, 2009. "A Dual-Solovian Measure of Productivity Increase and its Early Antecedents," MPRA Paper 15541, University Library of Munich, Germany.
- Bisello, Martina & Opocher, Arrigo, 2013. "Real cost reduction and productivity increase in an individual industry: a price-accounting approach in theory and practice," MPRA Paper 48367, University Library of Munich, Germany.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht).
If references are entirely missing, you can add them using this form.