Article: Drop in multifactor productivity. (Labor Month in Review).(Brief Article)

Multifactor productivity--measured as output per unit of combined labor and capital inputs--fell by 1.0 percent in the private nonfarm business sector in 2001. This was the first decrease since 1991. The multifactor productivity decline in 2001 reflected a 0.1-percent decrease in output and a 1.0-percent increase in the combined inputs of capital and labor. Capital services grew by 4.1 percent, while labor input fell by 0.4 percent.

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