Long-Term Productivity Growth Varies Across Countries


Total factor productivity growth for agriculture varies across countries, according to fresh data from USDA’s Economic Research Service. Total factor productivity growth reflects the rate of technological and efficiency improvements in agriculture. The data measures the amount of agricultural output produced from the combined set of land, labor, capital, and material resources employed in the production process. Strengthening the capacity of national agricultural research and extension systems to develop and deliver new agricultural technologies to farmers has been a critical factor in raising agricultural productivity. Information from the International Agricultural Productivity data product and related ERS research shows that Brazil and India’s growth can be attributed to long-term investments in agricultural research. China’s growth can be attributed to investments in research and institutional and economic reforms. In contrast, Russia’s low rate of agricultural growth is attributed to inefficiencies under a planned economy until 1991, followed by economic disruptions that accompanied its transition to a market economy.