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Integrated GDP-Productivity Accounts

Two of the most important statistical tools for analysis of macroeconomics and growth are the national accounts (encompassing gross domestic product, or GDP) and the multifactor productivity (MFP) statistics, which measure output per unit of combined inputs. Although they share a common accounting framework, in the United States these statistics are compiled by separate agencies—the national accounts by the Bureau of Economic Analysis (BEA) and the productivity statistics by the Bureau of Labor Statistics (BLS). Dale W. Jorgenson and J. Steven Landefeld (2006) identified the expansion and improved integration of the nation’s national accounts and productivity statistics as a high priority of their “new architecture” for the US national accounts. Barbara M. Fraumeni, et al. (2006) developed the first steps toward integrating the national accounts with the productivity statistics by describing the conceptual framework, developing illustrative accounts, and describing differences in source data and methods that require resolution. Our paper builds on that work; we develop a prototype integrated production account for the private business sector. We also discuss the issues that arise in extending the integrated production account to the total US economy, including nonmarket government and nonprofit sectors, and provide illustrative accounts for these sectors. Integration of the national accounts with the MFP statistics will provide data users with a Integrated GDP-Productivity Accounts