Multifactor productivity (MFP), which is measured as a residual (the growth in the volume of output not explained by the growth in the volume of labour and capital inputs), reflects other sources of change in the productive capacity of an industry or economy as well as technical change. This staff research note looks at the effect of one of these other possible sources of change — natural resource inputs.

Staff research notes have been prepared and are authored by individual staff to advance understanding of issues on the Commission's supporting research program. The views expressed in these notes are those of the staff involved and do not necessarily reflect the views of the Productivity Commission.

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