Widely accepted guidelines for standard Total Factor Productivity (TFP) measurement allow for cross-country agricultural productivity comparisons. However, current practices to incorporate environmental effects of economic activity still vary by country, making any similar comparison along environmental dimensions problematic. To address this need for standard environmental accounting guidelines, the OECD Network on Agricultural TFP and the Environment formed in 2017 to advance the development of cross-country environmentally-adjusted TFP indicators.
The Network brings together experts in productivity and measurement from academia (among others, Moriah Bostian and Tommy Lundgren of CERE), leading national statistics agencies, and international organizations, to better connect theory to practice. This paper provides an overview of the relevant index theory and current agency guidelines, originally to be presented at the annual Network meeting scheduled for May 2020 in Paris, but canceled due to the COVID-19 crisis.
Read the CERE Working Paper: Valuing ecosystem services for agricultural TFP, to learn more.