We describe the process for building the Collaborative Micro-productivity Project (CMP) microdata and calculating establishment-level productivity numbers. The documentation is for version 7 and the data cover the years 1972-2020. These data have been used in numerous research papers and are used to create the experimental public-use data product Dispersion Statistics on Productivity (DiSP).
-
Dispersion in Dispersion: Measuring Establishment-Level Differences in Productivity
April 2018
Working Paper Number:
CES-18-25RR
We describe new experimental productivity statistics, Dispersion Statistics on Productivity (DiSP), jointly developed and published by the Bureau of Labor Statistics (BLS) and the Census Bureau. Productivity measures are critical for understanding economic performance. Official BLS productivity statistics, which are available for major sectors and detailed industries, provide information on the sources of aggregate productivity growth. A large body of research shows that within-industry variation in productivity provides important insights into productivity dynamics. This research reveals large and persistent productivity differences across businesses even within narrowly defined industries. These differences vary across industries and over time and are related to productivity-enhancing reallocation. Dispersion in productivity across businesses can provide information about the nature of competition and frictions within sectors, and about the sources of rising wage inequality across businesses. Because there were no official statistics providing this level of detail, BLS and the Census Bureau partnered to create measures of within-industry productivity dispersion. These measures complement official BLS aggregate and industry-level productivity growth statistics and thereby improve our understanding of the rich productivity dynamics in the U.S. economy. The underlying microdata for these measures are available for use by qualified researchers on approved projects in the Federal Statistical Research Data Center (FSRDC) network. These new statistics confirm the presence of large productivity differences and we hope that these new data products will encourage further research into understanding these differences.
View Full
Paper PDF
-
Punctuated Entrepreneurship (Among Women)
May 2018
Working Paper Number:
CES-18-26
The gender gap in entrepreneurship may be explained in part by employee non-compete agreements. Exploiting exogenous state-level variation in non-compete policy, I find that women more strictly subject to non-competes are 11-17% more likely to start companies after their employers dissolve. This result is not explained by the incidence of non-competes or lawsuits; however, women face higher relative costs in defending against potential litigation and in returning to paid employment after abandoning their ventures. Thus entrepreneurship among women may be 'punctuated' in that would-be female founders are throttled by non-competes, their potential unleashed only by the failure of their employers.
View Full
Paper PDF
-
The Dynamics of Plant-Level Productivity in U.S. Manufacturing
July 2006
Working Paper Number:
CES-06-20
Using a unique database that covers the entire U.S. manufacturing sector from 1976 until 1999, we estimate plant-level total factor productivity for a large number of plants. We characterize time series properties of plant-level idiosyncratic shocks to productivity, taking into account aggregate manufacturing-sector shocks and industry-level shocks. Plant-level heterogeneity and shocks are a key determinant of the cross-sectional variations in output. We compare the persistence and volatility of the idiosyncratic plant-level shocks to those of aggregate productivity shocks estimated from aggregate data. We find that the persistence of plant level shocks is surprisingly low-we estimate an average autocorrelation of the plantspecific productivity shock of only 0.37 to 0.41 on an annual basis. Finally, we find that estimates of the persistence of productivity shocks from aggregate data have a large upward bias. Estimates of the persistence of productivity shocks in the same data aggregated to the industry level produce autocorrelation estimates ranging from 0.80 to 0.91 on an annual basis. The results are robust to the inclusion of various measures of lumpiness in investment and job flows, different weighting methods, and different measures of the plants' capital stocks.
View Full
Paper PDF
-
Decomposing Aggregate Productivity
July 2022
Working Paper Number:
CES-22-25
In this note, we evaluate the sensitivity of commonly-used decompositions for aggregate productivity. Our analysis spans the universe of U.S. manufacturers from 1977 to 2012 and we find that, even holding the data and form of the production function fixed, results on aggregate productivity are extremely sensitive to how productivity at the firm level is measured. Even qualitative statements about the levels of aggregate productivity and the sign of the covariance between productivity and size are highly dependent on how production function parameters are estimated. Despite these difficulties, we uncover some consistent facts about productivity growth: (1) labor productivity is consistently higher and less error-prone than measures of multi-factor productivity; (2) most productivity growth comes from growth within firms, rather than from reallocation across firms; (3) what growth does come from reallocation appears to be driven by net entry, primarily from the exit of relatively less-productive firms.
View Full
Paper PDF
-
Micro and Macro Data Integration: The Case of Capital
May 2005
Working Paper Number:
CES-05-02
Micro and macro data integration should be an objective of economic measurement as it is clearly advantageous to have internally consistent measurement at all levels of aggregation ' firm, industry and aggregate. In spite of the apparently compelling arguments, there are few measures of business activity that achieve anything close to micro/macro data internal consistency. The measures of business activity that are arguably the worst on this dimension are capital stocks and flows. In this paper, we document, quantify and analyze the widely different approaches to the measurement of capital from the aggregate (top down) and micro (bottom up) perspectives. We find that recent developments in data collection permit improved integration of the top down and bottom up approaches. We develop a prototype hybrid method that exploits these data to improve micro/macro data internal consistency in a manner that could potentially lead to substantially improved measures of capital stocks and flows at the industry level. We also explore the properties of the micro distribution of investment. In spite of substantial data and associated measurement limitations, we show that the micro distributions of investment exhibit properties that are of interest to both micro and macro analysts of investment behavior. These findings help highlight some of the potential benefits of micro/macro data integration.
View Full
Paper PDF
-
Large Plant Data in the LRD: Selection of a Sample for Estimation
March 1999
Working Paper Number:
CES-99-06
This paper describes preliminary work with the LRD during our tenure at the Census Bureau as participants in the ASA/NSF/Census Research Program. The objective of the work described here were two-fold. First, we wanted to examine the suitableness of these data for the calculation of plant-level productivity indexes, following procedures typically implemented with time series data. Second, we wanted to select a small number of 2-digit industry groups that would be well suited to the estimation of production functions and systems of factor share equations and factor demand forecasting equations with system-wide techniques. This description of our initial work may be useful to other researchers who are interested in the LRD for the analysis of productivity growth and/or the estimation of systems of factor equations, because the specific results reported in this memo suggest that the data are of good quality, or because the nature of the tasks undertaken provides insight into issues that arise in the analysis of longitudinal establishment data.
View Full
Paper PDF
-
Newly Recovered Microdata on U.S. Manufacturing Plants from the 1950s and 1960s: Some Early Glimpses
September 2011
Working Paper Number:
CES-11-29
Longitudinally-linked microdata on U.S. manufacturing plants are currently available to researchers for 1963, 1967, and 1972-2009. In this paper, we provide a first look at recently recovered manufacturing microdata files from the 1950s and 1960s. We describe their origins and background, discuss their contents, and begin to explore their sample coverage. We also begin to examine whether the available establishment identifier(s) allow record linking. Our preliminary analyses suggest that longitudinally-linked Annual Survey of Manufactures microdata from the mid-1950s through the present ' containing 16 years of additional data ' appears possible though challenging. While a great deal of work remains, we see tremendous value in extending the manufacturing microdata series back into time. With these data, new lines of research become possible and many others can be revisited.
View Full
Paper PDF
-
Manufacturing Establishments Reclassified Into New Industries: The Effect Of Survey Design Rules
November 1992
Working Paper Number:
CES-92-14
Establishment reclassification occurs when an establishment classified in one industry in one year is reclassified into another industry in another year. Because of survey design rules at the Census Bureau these reclassifications occur systematically over time, and affect the industry-level time series of output and employment. The evidence shows that reclassified establishments occur most often in two distinct years over the life of a sample panel. Switches are not only numerous in these years, they also contribute significantly to measured industry change in industry output and employment. The problem is that reclassifications are not necessarily processed in the year that they occur. The survey rules restrict most change to certain years. The effect of these rules is evidenced by looking at the variance across industry growth rates which increases greatly in these two years. Whatever the reason for reclassifying an establishment, the way the switches are processed raises the possibility of measurement errors in the industry level statistics. Researchers and policymakers relying upon observations in annual changes in industry statistics should be aware of these systematic discontinuities, discrepancies and potential data distortions.
View Full
Paper PDF
-
Job Tasks, Worker Skills, and Productivity
September 2025
Authors:
John Haltiwanger,
Lucia Foster,
Cheryl Grim,
Zoltan Wolf,
Cindy Cunningham,
Sabrina Wulff Pabilonia,
Jay Stewart,
Cody Tuttle,
G. Jacob Blackwood,
Matthew Dey,
Rachel Nesbit
Working Paper Number:
CES-25-63
We present new empirical evidence suggesting that we can better understand productivity dispersion across businesses by accounting for differences in how tasks, skills, and occupations are organized. This aligns with growing attention to the task content of production. We link establishment-level data from the Bureau of Labor Statistics Occupational Employment and Wage Statistics survey with productivity data from the Census Bureau's manufacturing surveys. Our analysis reveals strong relationships between establishment productivity and task, skill, and occupation inputs. These relationships are highly nonlinear and vary by industry. When we account for these patterns, we can explain a substantial share of productivity dispersion across establishments.
View Full
Paper PDF
-
Redesigning the Longitudinal Business Database
May 2021
Working Paper Number:
CES-21-08
In this paper we describe the U.S. Census Bureau's redesign and production implementation of the Longitudinal Business Database (LBD) first introduced by Jarmin and Miranda (2002). The LBD is used to create the Business Dynamics Statistics (BDS), tabulations describing the entry, exit, expansion, and contraction of businesses. The new LBD and BDS also incorporate information formerly provided by the Statistics of U.S. Businesses program, which produced similar year-to-year measures of employment and establishment flows. We describe in detail how the LBD is created from curation of the input administrative data, longitudinal matching, retiming of economic census-year births and deaths, creation of vintage consistent industry codes and noise factors, and the creation and cleaning of each year of LBD data. This documentation is intended to facilitate the proper use and understanding of the data by both researchers with approved projects accessing the LBD microdata and those using the BDS tabulations.
View Full
Paper PDF