Productivity growth is of central importance to economic growth. In the study of Total Factor Productivity (TFP),
Input and output growth indices have been estimated for Punjab’s agriculture for the period 1970 to 2005. The
indices were calculated using the most commonly employed index number approach namely Tornqvist Theil
approximation to divisia index. The Tornqvist-Theil index provides consistent aggregation of inputs and outputs
under the assumptions of competitive behavior, constant returns to scale, Hicks-neutral technical change, and
input-output separability. The results showed that annual average growth rate of input, output and TFP indices
remained 1.46, 3.49 and 2.0 for the study period. The study also estimated that TFP contributed 57 percent of the
output growth in Punjab’s agriculture during the study period.
Nasir Nadeem, Muhammad Siddique Javed, Sultan Ali Adil, Sarfraz Hassan. (2010) Estimation of total factor productivity growth in agriculture sector in Punjab, Pakistan: 1970-2005, , Volume-47, Issue-1.
