How is capital input derived for use in the multifactor productivity measures?
Capital input is measured as “capital services” — the flow of services from the physical stock of capital. The stock of capital is measured using a “perpetual inventory method” as the sum of past investments adjusted for depreciation and retirements. Rental prices for each asset are estimated to value the stock of capital.
Related Questions
- How do the multifactor productivity measures for private business and private nonfarm business differ from the measures for the manufacturing sector and manufacturing industries?
- Can the input or capital goods on which credit was already availed be cleared from the factory?
- How is capital input derived for use in the multifactor productivity measures?
