Identifying the Main Drivers of Productivity Growth
A Literature Review
This report represents the second outcome of the collaboration between the Asian Productivity
Organization (APO) and the Organisation for Economic Co-operation and Development
(OECD) to improve the measurement and analysis of productivity developments across
APO and OECD member economies. The report discusses the potential impact of COVID-19
on productivity and examines the role of Multifactor Productivity (MFP) as a major
driver of economic growth and changes in living standards. It then identifies the
most important factors influencing MFP growth and describes the most important challenges
affecting the measurement of each of these factors as well as the estimation of their
impact on MFP. The report provides key recommendations to improve the reliability
and interpretation of the empirical evidence for economic analysis.