2021 Total Factor Productivity for Major Industries — 2022-11-18

Total factor productivity (TFP) increased in 15 out of 21 major industries in 2021, the U.S. Bureau of Labor Statistics (BLS) reported today. The TFP increases in 2021 were primarily due to widespread output growth outpacing increases in the combined inputs of capital, labor, energy, materials, and services. Output increased in 20 of 21 major industries in 2021. The 2021 output growth was the largest in the series for the following industries: arts, entertainment, and recreation (+36.5 percent), accommodation and food services (+32.0 percent), administrative and waste services (+15.8 percent), information (+13.4 percent), and transportation and warehousing (+11.9 percent). (See table 1.) Ten industries with output growth in 2021 have output declines over the 2019-2021 time period, illustrating that output for these industries is still below their pre-COVID-19 pandemic levels. (See table 3.) Combined inputs increased in 18 of the 21 industries in 2021, driven by strong growth in labor input and intermediate inputs.