Productivity and Growth
A Study of British Industry 1954–86

This book, first published in 1994, addresses the question of how much of growth output can be accounted for by growth of inputs.

Nicholas Oulton (Author), Mary O'Mahony (Author)

9780521453455, Cambridge University Press

Hardback, published 28 January 1994

340 pages, 17 b/w illus. 75 tables
22.9 x 15.2 x 2.1 cm, 0.62 kg

How much of the growth of output can be accounted for by the growth of inputs and how much is due to the growth of productivity? This book, first published in 1994, is a detailed attempt to answer this question for Britain. Estimates of outputs and inputs for over 130 industries were constructed, following the methodology pioneered by Professor Dale Jorgenson. These estimates can be employed to build up a picture of the performance of UK manufacturing as a whole. Contrary to the impression left by some previous authors, growth of productivity is found to play a relatively minor role - growth of inputs, when properly measured, accounts for most of the growth of output. The wealth of data which this book presents can also be used to shed light on a number of recent controversial views attached to the 'New Growth Theory'. According to this theory, externalities and increasing returns, often held to be associated with fixed investment, are the engine of economic growth. However, this book finds that the evidence does not support these claims.

1. An overview
2. Theory and methods
3. Estimating the stock of fixed capital
4. Output, input and productivity growth at the industry level
5. Output and productivity growth in aggregate manufacturing
6. Raw material prices and the post-1973 productivity slowdown
7. Investment, increasing returns, and the pattern of productivity growth
Appendix A: list of industries covered by the census of production, classified by the 1968 SIC
Appendix B: data sources
Appendix C: the reclassification of the standard industrial classification from the 1980 to the 1968 basis
Appendix D: the estimation of gross output
Appendix E: construction of price indices
Appendix F: labour input
Appendix G: rental prices of capital sources
Appendix H: detailed tables.

Subject Areas: Economic history [KCZ]