Report on Productivity Trends in Selected Natural Resource Industries in Canada
AbstractThe purpose of this report is to shed light on the dynamics and determinants of productivity growth in nine selected natural resource industries and in the overall natural resource sector in Canada. This report provides a concise review of the findings of a detailed analysis undertaken by the Centre for the Study of Living Standards for Natural Resources Canada. The importance of productivity growth is reviewed, and observations are made on the contribution of natural resource industries to aggregate productivity growth; brief summaries on productivity and its determinants are presented for each of the nine industries; and the findings are synthesized into lessons for the natural resource sector as a whole. Some of the main findings are that: natural resource industries contribute disproportionately to aggregate productivity growth in Canada, with labour productivity levels twice as high as the total economy on average, and labour productivity growth one and one half times as rapid as total economy labour productivity growth; capital deepening is a key driver of labour productivity growth in natural resource industries, and high levels of capital intensity explain the high levels of labour productivity in natural resource industries; technological advance is another important driver of labour productivity growth in natural resource industries, and has also increased the importance of human capital; the earth sciences industries make a significant contribution to productivity growth in natural resource industries by providing innovative exploration and development services; and price trends play a large role in the productivity performance of many natural resource industries by determining the quality of deposit that is profitable to be exploited.
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Bibliographic InfoPaper provided by Centre for the Study of Living Standards in its series CSLS Research Reports with number 2004-06.
Date of creation: Oct 2004
Date of revision:
Find related papers by JEL classification:
- L71 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Mining, Extraction, and Refining: Hydrocarbon Fuels
- L72 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Mining, Extraction, and Refining: Other Nonrenewable Resources
- L73 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Forest Products
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
- O51 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - U.S.; Canada
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
- O30 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - General
- E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-12-20 (All new papers)
- NEP-ENE-2004-12-20 (Energy Economics)
- NEP-ENV-2004-12-20 (Environmental Economics)
- NEP-MAC-2004-12-20 (Macroeconomics)
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- Jeremy Smith, 2004. "Productivity Trends in the Gold Mining Industry in Canada," CSLS Research Reports 2004-08, Centre for the Study of Living Standards.
- Someshwar Rao & Andrew Sharpe & Jeremy Smith, 2005. "An Analysis of the Labour Productivity Growth Slowdown in Canada since 2000," International Productivity Monitor, Centre for the Study of Living Standards, vol. 10, pages 3-23, Spring.
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