Accounting for Capital Consumption and Technological Progress
Methods currently used to calculate capital consumption, the capital stock, and the sources of economic growth do not adequately measure the underlying growth in inputs due to technological advance. This lack affects tax policy as well as programs targeting potential areas of economic growth. The authors present a model designed to surmount the deficiencies of current calculation methods.
Suggested citation: Gort, Michael, and Peter Rupert. “Accounting for Capital Consumption and Technological Progress,” Federal Reserve Bank of Cleveland, Economic Review, vol. 35, no. 2, pp. 13-18, 04.01.1999.