Quality-adjusted labour input: new estimates for 1993 to 2008

SummaryQualitydadjusted labour input lQALIr is a measure of labour input which takes account of the quality of the workforce as well as volume of hours worked. It provides a more complete picture of the input of labour to the production process than traditional measures, which focus only on the quantity of labour input, and is therefore more suitable for assessing productivity performance. Along with the volume index of capital services, QALI is a key input to multidfactor productivity and growth accounting analyses lsee Long and Franklin 2010 for the latest estimatesr.This article presents new estimates of QALI for 1993 to 2008, which are the result of significant development work since the previous release lGoodridge 2009r. This includes a change to the compositional categories used in the qualitydadjustment process, an expansion in industrial detail, and the presentation of a longer time series. This work also fed into the growth accounting dataset used in the NESTA Innovation Index, a joint ONS/Imperial College project to identify the contribution of innovation to economic growth lNESTA 2009r.