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  • Articles and reports: 11F0019M2019013
    Description:

    The need to measure both the desirable outputs (goods and services) and the undesirable outputs (emissions of greenhouse gases [GHGs] and criteria air contaminants [CACs]) from economic activity is becoming increasingly important as economic performance and environmental performance become ever more intertwined. Standard measures of multifactor productivity (MFP) growth provide insights into rising standards of living and the performance of economies, but they may be misleading if only desirable outputs are considered. This study presents estimates of environmentally adjusted multifactor productivity (EAMFP) growth using a new comprehensive database. This database contains information on GHG and CAC emissions, as well as on the production activities of Canadian manufacturers.

    Release date: 2019-05-08

  • Articles and reports: 11F0019M2018409
    Description:

    Labour productivity growth and multifactor productivity (MFP) growth slowed in Canada and other advanced economies after 2000. Several measurement challenges have been suggested as potential explanations for this trend. These include the measurement of intangible capital in a digital economy, the measurement of natural resource capital in the resource extraction sectors, the effect of infrastructure capital and the effect of cyclical fluctuations in the utilization of capital in industries adversely affected by world demand. This paper focuses on the role of these measurement issues in the slower productivity growth observed in Canada.

    Release date: 2018-10-29

  • Articles and reports: 11F0019M2015372
    Description:

    This paper presents a growth accounting framework in which subsoil mineral and energy resources are recognized as natural capital input into the production process. It is the first study of its kind in Canada. Firstly, the income attributable to subsoil resources, or resource rent, is estimated as a surplus value after all extraction costs and normal returns on produced capital have been accounted for. The value of a resource reserve is then estimated as the present value of the future resource rents generated from the efficient extraction of the reserve. Lastly, with extraction as the observed service flows of natural capital, multifactor productivity (MFP) growth and the other sources of economic growth can be reassessed by updating the income shares of all inputs, and then, by estimating the contribution to growth coming from changes in the value of natural capital input. This framework is then applied to the Canadian oil and gas extraction sector.

    Release date: 2015-12-14

  • Articles and reports: 11F0027M2015097
    Description:

    Canada’s aggregate productivity performance has closely tracked changes in Canada’s trading environment. To gain a better understanding of the link, the Economic Analysis Division of Statistics Canada has conducted a set of studies that investigate whether and how changes in the trading environment, brought about by trade liberalization policies and exchange-rate movements, contributed to productivity growth. The firm-level analysis provides insights into the productivity dynamics that arise from within-industry growth and restructuring as resources are shifted from declining to growing industries. The paper provides an overview of the key Canadian empirical findings over the last two decades.

    Release date: 2015-06-16

  • Articles and reports: 15-206-X2014038
    Description:

    This paper provides an overview of the productivity program at Statistics Canada and a brief description of Canada’s productivity performance. The paper defines productivity and the various measures that are used to investigate different aspects of productivity growth. It describes the difference between partial productivity measures (such as labour productivity) and a more complete measure (multifactor productivity) and the advantages and disadvantages of each. The paper explains why productivity is important. It outlines how productivity growth fits into the growth accounting framework and how this framework is used to examine the various sources of economic growth. The paper briefly discusses the challenges that face statisticians in measuring productivity growth. It also provides an overview of Canada’s long-term productivity performance and compares Canada to the United States—both in terms of productivity levels and productivity growth rates.

    Release date: 2014-09-15

  • Articles and reports: 15-206-X2014037
    Description:

    This paper presents estimates of effective multifactor productivity (MFP) growth for Canada, the United States, Australia, Japan and selected European Union (EU) countries, based on the EU KLEMS productivity database and the World Input-Output Tables. Effective MFP growth captures the impact of the productivity gains in upstream industries on the productivity growth and international competitiveness of domestic industries, thereby providing an appropriate measure of productivity growth and international competitiveness in the production of final demand products such as consumption, investment and export products. A substantial portion of MFP growth, especially for small, open economies such as Canada’s, is attributable to gains in the production of intermediate inputs in foreign countries. Productivity growth tends to be higher in investment and export products than for the production of consumption products. Technical progress and productivity growth in foreign countries have made a larger contribution to production growth in investment and export products than in consumption products. The analysis provides empirical evidence consistent with the hypothesis that effective MFP growth is a more informative relevant indicator of international competitiveness than is standard MFP growth.

    Release date: 2014-09-09

  • Articles and reports: 15-206-X2014035
    Description:

    This paper highlights revisions to multifactor productivity (MFP) growth and related variables in the business sector and in individual industries, which resulted from the historical revision of the Canadian System of National Accounts (CSNA) released October 1, 2012, revisions to the labour productivity accounts released October 12, 2012, and changes in the estimation of capital input that were made in order to improve its consistency in industry MFP growth estimates.

    The multifactor productivity program produces indexes of MFP and related measures (output, capital input, labour input and intermediate inputs) for the business sector, broad economic sub-sectors, and their constituent industries. The MFP program divides growth in labour productivity into its key determinants: capital intensity (changes in capital per hour worked), investment in human capital, and MFP, which includes technological change, organizational innovation and economies of scale.

    Release date: 2014-07-08

  • Articles and reports: 11-626-X2013031
    Geography: Canada
    Description:

    This article in the Economic Insights series reports the impact of correcting for variations in capacity utilization on multifactor productivity growth in Canadian business industries. It is based on a recently released Statistics Canada research paper. Results show that multifactor productivity growth is procyclical for almost all business industries, and that such pro-cyclicality largely reflects variations in capacity utilization in some industries, especially in manufacturing and mining.

    Release date: 2013-10-04

  • Surveys and statistical programs – Documentation: 15-206-X2013031
    Description:

    This paper describes the evolution of the Multifactor Productivity Program launched at Statistics Canada in 1987 and the improvements made in multifactor productivity measurement since then. The improvements were made in response to developments in the economic literature, better data sources, and the needs of the user community. The paper also summarizes research that uses alternate data and methodologies to assess the accuracy of the Multifactor Productivity Program and to provide insights into areas that traditional international multifactor productivity programs omit. Finally, the paper outlines future directions that are being contemplated to further improve the measurement of productivity at Statistics Canada.

    Release date: 2013-05-28

  • Surveys and statistical programs – Documentation: 15-206-X2010027
    Description:

    Measures of productivity are derived by comparing outputs and inputs. The System of National Accounts (SNA) in Canada provides a useful framework for organizing the information required for comparisons of this type. Integrated systems of economic accounts provide coherent, consistent alternate estimates of the various concepts that can be used to measure productivity.

    Release date: 2010-06-29
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  • Articles and reports: 11F0019M2019013
    Description:

    The need to measure both the desirable outputs (goods and services) and the undesirable outputs (emissions of greenhouse gases [GHGs] and criteria air contaminants [CACs]) from economic activity is becoming increasingly important as economic performance and environmental performance become ever more intertwined. Standard measures of multifactor productivity (MFP) growth provide insights into rising standards of living and the performance of economies, but they may be misleading if only desirable outputs are considered. This study presents estimates of environmentally adjusted multifactor productivity (EAMFP) growth using a new comprehensive database. This database contains information on GHG and CAC emissions, as well as on the production activities of Canadian manufacturers.

    Release date: 2019-05-08

  • Articles and reports: 11F0019M2018409
    Description:

    Labour productivity growth and multifactor productivity (MFP) growth slowed in Canada and other advanced economies after 2000. Several measurement challenges have been suggested as potential explanations for this trend. These include the measurement of intangible capital in a digital economy, the measurement of natural resource capital in the resource extraction sectors, the effect of infrastructure capital and the effect of cyclical fluctuations in the utilization of capital in industries adversely affected by world demand. This paper focuses on the role of these measurement issues in the slower productivity growth observed in Canada.

    Release date: 2018-10-29

  • Articles and reports: 11F0019M2015372
    Description:

    This paper presents a growth accounting framework in which subsoil mineral and energy resources are recognized as natural capital input into the production process. It is the first study of its kind in Canada. Firstly, the income attributable to subsoil resources, or resource rent, is estimated as a surplus value after all extraction costs and normal returns on produced capital have been accounted for. The value of a resource reserve is then estimated as the present value of the future resource rents generated from the efficient extraction of the reserve. Lastly, with extraction as the observed service flows of natural capital, multifactor productivity (MFP) growth and the other sources of economic growth can be reassessed by updating the income shares of all inputs, and then, by estimating the contribution to growth coming from changes in the value of natural capital input. This framework is then applied to the Canadian oil and gas extraction sector.

    Release date: 2015-12-14

  • Articles and reports: 11F0027M2015097
    Description:

    Canada’s aggregate productivity performance has closely tracked changes in Canada’s trading environment. To gain a better understanding of the link, the Economic Analysis Division of Statistics Canada has conducted a set of studies that investigate whether and how changes in the trading environment, brought about by trade liberalization policies and exchange-rate movements, contributed to productivity growth. The firm-level analysis provides insights into the productivity dynamics that arise from within-industry growth and restructuring as resources are shifted from declining to growing industries. The paper provides an overview of the key Canadian empirical findings over the last two decades.

    Release date: 2015-06-16

  • Articles and reports: 15-206-X2014038
    Description:

    This paper provides an overview of the productivity program at Statistics Canada and a brief description of Canada’s productivity performance. The paper defines productivity and the various measures that are used to investigate different aspects of productivity growth. It describes the difference between partial productivity measures (such as labour productivity) and a more complete measure (multifactor productivity) and the advantages and disadvantages of each. The paper explains why productivity is important. It outlines how productivity growth fits into the growth accounting framework and how this framework is used to examine the various sources of economic growth. The paper briefly discusses the challenges that face statisticians in measuring productivity growth. It also provides an overview of Canada’s long-term productivity performance and compares Canada to the United States—both in terms of productivity levels and productivity growth rates.

    Release date: 2014-09-15

  • Articles and reports: 15-206-X2014037
    Description:

    This paper presents estimates of effective multifactor productivity (MFP) growth for Canada, the United States, Australia, Japan and selected European Union (EU) countries, based on the EU KLEMS productivity database and the World Input-Output Tables. Effective MFP growth captures the impact of the productivity gains in upstream industries on the productivity growth and international competitiveness of domestic industries, thereby providing an appropriate measure of productivity growth and international competitiveness in the production of final demand products such as consumption, investment and export products. A substantial portion of MFP growth, especially for small, open economies such as Canada’s, is attributable to gains in the production of intermediate inputs in foreign countries. Productivity growth tends to be higher in investment and export products than for the production of consumption products. Technical progress and productivity growth in foreign countries have made a larger contribution to production growth in investment and export products than in consumption products. The analysis provides empirical evidence consistent with the hypothesis that effective MFP growth is a more informative relevant indicator of international competitiveness than is standard MFP growth.

    Release date: 2014-09-09

  • Articles and reports: 15-206-X2014035
    Description:

    This paper highlights revisions to multifactor productivity (MFP) growth and related variables in the business sector and in individual industries, which resulted from the historical revision of the Canadian System of National Accounts (CSNA) released October 1, 2012, revisions to the labour productivity accounts released October 12, 2012, and changes in the estimation of capital input that were made in order to improve its consistency in industry MFP growth estimates.

    The multifactor productivity program produces indexes of MFP and related measures (output, capital input, labour input and intermediate inputs) for the business sector, broad economic sub-sectors, and their constituent industries. The MFP program divides growth in labour productivity into its key determinants: capital intensity (changes in capital per hour worked), investment in human capital, and MFP, which includes technological change, organizational innovation and economies of scale.

    Release date: 2014-07-08

  • Articles and reports: 11-626-X2013031
    Geography: Canada
    Description:

    This article in the Economic Insights series reports the impact of correcting for variations in capacity utilization on multifactor productivity growth in Canadian business industries. It is based on a recently released Statistics Canada research paper. Results show that multifactor productivity growth is procyclical for almost all business industries, and that such pro-cyclicality largely reflects variations in capacity utilization in some industries, especially in manufacturing and mining.

    Release date: 2013-10-04

  • Articles and reports: 15-206-X2009025
    Description:

    Baldwin and Gu (2008) provide an overview of the productivity program at Statistics Canada and a brief description of Canada's productivity performance. This paper provides an update of Canada's productivity performance in more recent years and analyses the sources of weak productivity performance in Canada since 2000.

    Release date: 2009-08-04

  • Articles and reports: 15-206-X2008021
    Description:

    This paper makes use of a growth accounting framework to examine the importance of public capital for private sector productivity growth. Most measures of multifactor productivity consider only the inputs of the business sector. This paper produces an alternate measure of multifactor productivity for the business sector that incorporates the impact of public capital. It uses the estimate of the elasticity of business sector output with respect to public capital derived from Macdonald (2008). Over the period, the conventional estimate of MFP growth averages 0.4% per year. About half of this growth is attributable to public capital.

    Release date: 2009-01-14
Reference (9)

Reference (9) ((9 results))

  • Surveys and statistical programs – Documentation: 15-206-X2013031
    Description:

    This paper describes the evolution of the Multifactor Productivity Program launched at Statistics Canada in 1987 and the improvements made in multifactor productivity measurement since then. The improvements were made in response to developments in the economic literature, better data sources, and the needs of the user community. The paper also summarizes research that uses alternate data and methodologies to assess the accuracy of the Multifactor Productivity Program and to provide insights into areas that traditional international multifactor productivity programs omit. Finally, the paper outlines future directions that are being contemplated to further improve the measurement of productivity at Statistics Canada.

    Release date: 2013-05-28

  • Surveys and statistical programs – Documentation: 15-206-X2010027
    Description:

    Measures of productivity are derived by comparing outputs and inputs. The System of National Accounts (SNA) in Canada provides a useful framework for organizing the information required for comparisons of this type. Integrated systems of economic accounts provide coherent, consistent alternate estimates of the various concepts that can be used to measure productivity.

    Release date: 2010-06-29

  • Surveys and statistical programs – Documentation: 15-206-X2008017
    Description:

    This paper provides an overview of the productivity program at Statistics Canada and a brief description of Canada's productivity performance. The paper defines productivity and the various measures that are used to investigate different aspects of productivity growth. It describes the difference between partial productivity measures (such as labour productivity) and a more complete measure (multifactor productivity) and the advantages and disadvantages of each. The paper explains why productivity is important. It outlines how productivity growth fits into the growth accounting framework and how this framework is used to examine the various sources of economic growth. The paper briefly discusses the challenges that face statisticians in measuring productivity growth. It also provides an overview of Canada's long-term productivity performance and compares Canada to the United States - both in terms of productivity levels and productivity growth rates.

    Release date: 2008-02-25

  • Surveys and statistical programs – Documentation: 15-206-X2007014
    Description:

    The Canadian Productivity Accounts (CPA) of Statistics Canada maintain two multifactor productivity (MFP) programs.

    The Major Sector Multifactor Productivity Program develops the indexes of MFP for the total business sector and major industry groups in the business sector.

    The Industry Multifactor Productivity Program or the Industry KLEMS Productivity Program develops the industry productivity database that includes MFP indexes, output, capital (K), labour (L), energy (E), materials (M) and services (S) inputs for the individual industries of the business sector at various levels of industry aggregation. This paper describes the methodologies and data sources that are used to construct the major sector MFP indexes and the industry productivity database (or the KLEMS database). More specifically, this paper is meant to:provide a background of the major sector MFP program and the industry KLEMS productivity program;present the methodology for measuring MFP;describe the data sources and data available from the MFP programs;present a quality rating of the industry KLEMS productivity data; anddescribe the research agenda related to the MFP program.

    Release date: 2007-12-06

  • Surveys and statistical programs – Documentation: 15-206-X2007009
    Description:

    This paper examines the effects of alternative specifications of the user costs of capital on the estimated price and volume indices of capital services. It asks how sensitive the results are to the use of exogenous versus endogenous rates of return, to alternate ways of including capital gains, and to whether corrections are made for tax rates. The paper also examines the effect of the various user cost formulae on the measured multifactor productivity growth.

    Release date: 2007-04-04

  • Surveys and statistical programs – Documentation: 11F0026M2005004
    Description:

    A statistical agency faces several challenges in building Productivity Accounts. Measures of productivity require that outputs be compared to inputs.

    This paper discusses the challenges that a statistical agency faces in this area -as illustrated by the Canadian experience. First, it examines the progress that has been made in developing a system that integrates the Productivity Accounts into the overall System of National Accounts. It also discusses deficiencies that still need to be overcome. Finally, the paper focuses on the need to consider whether the SNA manual should be extended into the area of productivity measurement. The paper argues that the advantage of integrating productivity accounts into the general accounts is sufficiently great that it is time to include more detail on the nature of productivity accounts in the general SNA framework.

    Release date: 2005-04-28

  • Surveys and statistical programs – Documentation: 15-002-M2001001
    Description:

    This document describes the sources, concepts and methods utilized by the Canadian Productivity Accounts and discusses how they compare with their U.S. counterparts.

    Release date: 2004-12-24

  • Surveys and statistical programs – Documentation: 11F0026M2004002
    Description:

    This paper discusses the productivity program at Statistics Canada, covering topics such as international efforts to provide more comparable statistics, attempts to expand our knowledge of the factors behind productivity growth, and challenges facing the program.

    Release date: 2004-08-06

  • Surveys and statistical programs – Documentation: 11F0026M2004001
    Description:

    This paper describes how the analytical program of Statistics Canada's productivity group is used to enhance the quality (relevance, coherence, interpretability) of its products.

    Release date: 2004-07-08
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