INTERNATIONAL STUDIES OF FACTOR INPUTS AND TOTAL FACTOR PRODUCTIVITY: A BRIEF SURVEY

This paper summarizes the results of several studies on total factor productivity of twenty-five countries over the period 1950–1965. Some methodological issues which underlie the derivation and calculation of the familiar partial and total factor productivity indices are discussed. Though evidence on labor productivity for a large number of countries is presented and discussed, the main thrust of the discussion is in terms of the determinants of total factor productivity. The quantitative and qualitative contributions of labor and capital to growth of income are assessed with special attention to the contrasting patterns of these contributions among developed and developing economies. The problems of acceleration and retardation of the growth rate of some economies are considered and possible explanations are offered. Variations in the magnitude and sectoral distribution of the growth rates in several countries over this period are examined. Finally, areas for further research in comparative economic growth are suggested.