Notes

1.As the labour input measure used in this paper is a sum of hours worked across different types of workers and does not account for the shift in the composition of hours worked toward more experienced and more educated workers, the multifactor productivity growth estimates in this paper also include the effect of skill upgrading on labour productivity growth.
2.The methods for constructing multifactor productivity in the U.S. manufacturing sector are documented in BLS (1983) and Gullickson (1995).
3.The main difference is that the Standard Industrial Classification manufacturing taxonomy includes the publishing sector while the North American Industry Classification System manufacturing classification does not.
4.We have set parameter lambda to 100 for Hodrick-Prescott-filtered differences.
5.The multifactor productivity growth (MFP) estimates in that paper are based on a measure of labour input that accounts for the effect of shifts in the composition of hours worked toward more experienced and more educated workers. As such the MFP estimates in that paper are not comparable to the estimates presented in this paper.
6.Annual growth in real gross domestic product (value added) per hour was 3.1% in the manufacturing sector for Canada and the United States over the period from 1961 to 2003.
7.The industry productivity database for the United States is available for 18 North American Industry Classification System 3-digit manufacturing industries over the period from 1987 to 2005. Comparable data for Canada are available for 1961 to 2003.
8.From 2000 to 2003, productivity growth was lower in Canada than in the United States in most manufacturing industries. Such widespread differences are due to the differences in source data used. Canada uses a labour force estimate of hours worked, which showed little changes over the period, while the United States uses an employer survey estimate. If the employer survey were used in Canada, there would be little difference in labour productivity growth between the two countries.