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British and German Manufacturing Productivity Compared: A New Benchmark for 1935/36 Based on Double Deflated Value Added


  • Fremdling, Rainer
  • De Jong, Herman
  • Timmer, Marcel P.


We present a new estimate of Anglo-German manufacturing productivity levels for 1935/36. It is based on archival data on German manufacturing and published British census data. We calculate comparative levels of value added, correcting for differences in prices for outputs and inputs. This so-called double deflation procedure provides new insights into productivity comparisons because output- and input price structures differed greatly between the two countries. Although the new calculations confirm existing results at an aggregate level, they reveal important differences at the industry level and show how Germany was striving for autarky as it prepared its economy for war.
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  • Fremdling, Rainer & De Jong, Herman & Timmer, Marcel P., 2007. "British and German Manufacturing Productivity Compared: A New Benchmark for 1935/36 Based on Double Deflated Value Added," The Journal of Economic History, Cambridge University Press, vol. 67(02), pages 350-378, June.
  • Handle: RePEc:cup:jechis:v:67:y:2007:i:02:p:350-378_00

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    References listed on IDEAS

    1. Kravis, Irving B, 1976. "A Survey of International Comparisons of Productivity," Economic Journal, Royal Economic Society, vol. 86(341), pages 1-44, March.
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    Cited by:

    1. Kyoji Fukao & Harry X. Wu & Tangjun Yuan, 2008. "Comparative Output and Labour Productivity in Manufacturing for China, Japan, Korea and the United States in Circa 1935 by a Production PPP Approach," Global COE Hi-Stat Discussion Paper Series gd08-018, Institute of Economic Research, Hitotsubashi University.
    2. Voskoboynikov, Ilya B., 2012. "New measures of output, labour and capital in industries of the Russian economy," GGDC Research Memorandum GD-123, Groningen Growth and Development Centre, University of Groningen.
    3. Lan, Jun & Malik, Arunima & Lenzen, Manfred & McBain, Darian & Kanemoto, Keiichiro, 2016. "A structural decomposition analysis of global energy footprints," Applied Energy, Elsevier, vol. 163(C), pages 436-451.
    4. repec:dgr:rugggd:gd-123 is not listed on IDEAS
    5. repec:eee:enepol:v:109:y:2017:i:c:p:734-746 is not listed on IDEAS
    6. repec:dgr:rugggd:gd-113 is not listed on IDEAS
    7. Broadberry, Stephen & Klein, Alexander, 2011. "When and why did eastern European economies begin to fail? Lessons from a Czechoslovak/UK productivity comparison, 1921-1991," Explorations in Economic History, Elsevier, vol. 48(1), pages 37-52, January.
    8. Giordano, Claire & Giugliano, Ferdinando, 2015. "A tale of two Fascisms: Labour productivity growth and competition policy in Italy, 1911–1951," Explorations in Economic History, Elsevier, vol. 55(C), pages 25-38.
    9. Ritschl, Albrecht, 2008. "The Anglo-German productivity puzzle, 1895-1935: a restatement and a possible resolution," Economic History Working Papers 22309, London School of Economics and Political Science, Department of Economic History.
    10. Herman De Jong & Pieter Woltjer, 2011. "Depression dynamics: a new estimate of the Anglo‐American manufacturing productivity gap in the interwar period," Economic History Review, Economic History Society, vol. 64(2), pages 472-492, May.
    11. Yuan, Tangjun & Fukao, Kyoji & Wu, Harry X., 2010. "Comparative output and labor productivity in manufacturing between China, Japan, Korea and the United States for ca. 1935 - A production-side PPP approach," Explorations in Economic History, Elsevier, vol. 47(3), pages 325-346, July.
    12. repec:dgr:rugggd:gd-140 is not listed on IDEAS
    13. Broadberry, Stephen & Fukao, Kyoji & Zammit, Nick, 2015. "How Did Japan Catch-up On The West? A Sectoral Analysis Of Anglo-Japanese Productivity Differences, 1885-2000," CAGE Online Working Paper Series 231, Competitive Advantage in the Global Economy (CAGE).
    14. repec:dgr:rugggd:gd-141 is not listed on IDEAS
    15. Woltjer, P. & Smits, Jan-Pieter & Frankema, Ewout, 2010. "Comparing Productivity in the Netherlands, France, UK and US, ca. 1910:A new PPP benchmark and its implications for changing economic leadership," GGDC Research Memorandum GD-113, Groningen Growth and Development Centre, University of Groningen.

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