Has the Investment Boom Expanded U.S. Productive Capacity?

Nida Cakir Melek

Economic Bulletin, 2026, 4

Abstract: U.S. productive capacity has expanded, but so far almost entirely in one narrow segment: the industries that make computers, communications equipment, and semiconductors, which account for about 3 percent of U.S. manufacturing output. Capacity in the rest of manufacturing remains below its pre-pandemic level. Where the AI build-out presses hardest on domestic suppliers, adjustment is occurring through higher prices and imports rather than broad new U.S. capacity.

Date: 2026
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.kansascityfed.org/research/economic-bu ... productive-capacity/ full text (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fip:fedkeb:103937

Ordering information: This journal article can be ordered from

Access Statistics for this article

More articles in Economic Bulletin from Federal Reserve Bank of Kansas City Contact information at EDIRC.
Bibliographic data for series maintained by Kira Lillard ().