Total factor productivity for Manufacturing Sector (NAICS 311-339), Indexes = 100.000

Multifactor productivity measures describe the relationship between output in real terms and the inputs involved in its production. The multifactor productivity indexes for private business and private nonfarm business are derived by dividing an output index by an index of combined inputs — labor input and capital services combined using chained superlative Tornqvist aggregation, applying weights that represent each component's share of total costs. For manufacturing, the indexes are derived by dividing an output index by a combined index of labor, capital services, energy, non-energy materials, and purchased business services.

The output index for manufacturing is computed using a chained superlative Tornqvist index of three-digit NAICS industry outputs. Industry output is measured as sectoral output — the total value of goods and services leaving the industry. Private business includes all activities measured in the national accounts with the exception of general government, the output of paid employees of private households and nonprofit institutions, the "rest of the world" sector, the gross housing product of owner-occupied dwellings, the statistical discrepancy, and government enterprises. Private nonfarm business further excludes the farm sector.

Data are obtained and derived from the following sources: Current Employment Statistics program (BLS), Current Population Survey (BLS), Work Survey (BLS), Censuses and Annual Surveys of Manufactures (Census Bureau), National Income and Product Accounts (BEA), and the Land Stock Data from the Department of Agriculture. There are 205 major sector and 848 two-digit multifactor productivity series available on the LABSTAT database.

Private Business and Private Nonfarm Business measures start in 1987, as do Manufacturing measures. Series are available on an annual basis. All indexes have a base period of 2009 = 100 and are stored to three decimal places. Updates are performed annually as data become available, with all revisions to source data reflected in the following release.

References: BLS Handbook of Methods, Chapter 10, "Productivity Measures: Business Sector and Major Subsectors", BLS Bulletin 2477 (1996). "Technical Information About the BLS Multifactor Productivity Measures" located at http://www.bls.gov/mfp/mprtech.pdf.