Environmentally adjusted multifactor productivity: Accounting for renewable natural resources and ecosystem services

Miguel Cárdenas Rodríguez, Florian Mante, Ivan Haščič and Adelaida Rojas Lleras

No 2023/01, OECD Green Growth Papers from OECD Publishing

Abstract: Multifactor productivity is a comprehensive measure of productivity where the underlying production function accounts for multiple factor inputs, traditionally labour and produced capital. While single-factor productivity is intuitively simple, such measure offers a biased picture of the economy because it attributes all variation in output growth to a single factor input (e.g. consumption of fossil fuels or material resources) while the role of other factors is ignored. Multifactor productivity aims at addressing this shortcoming, and as such it is a valuable component of the OECD set of Green Growth headline indicators. This paper presents further progress in measuring the EAMFP and related growth accounting indicators in 52 countries for 1996-2018. An important novelty is the inclusion of renewable natural resources such as land, timber and fisheries, and ecosystem services such as coastal and watershed protection. Exploratory results on accounting for renewable energy resources are also included.

Keywords: air pollution; costs; ecosystem services; environmental accounting; exhaustible resources; forest; fossil fuels; greenhouse gases; income; indicators; land; minerals; multifactor productivity; natural capital; pollution; prices; production; renewable energy; renewable resources (search for similar items in EconPapers)
JEL-codes: D24 O44 O47 Q2 Q3 Q5 Q52 Q53 Q56 (search for similar items in EconPapers)
Date: 2023-11-20
New Economics Papers: this item is included in nep-agr, nep-eff, nep-ene and nep-env
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://doi.org/10.1787/9096211d-en (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:oec:envddd:2023/01-en

Access Statistics for this paper

More papers in OECD Green Growth Papers from OECD Publishing Contact information at EDIRC.
Bibliographic data for series maintained by ().