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Average Levels of Labor Productivity in Quebec Relative to Ontario by Two-Digit Industry (Ontario = 100) Industries 01 Food and Beverage 02 Tobacco Products 03 Rubber 04 Leather 05 Textile 06 Knitting Mills 07 Clothing 08 Wood 09 Furniture 10 Paper 11 Printing 12 Primary Metals 13 Metallic Fabricating 14 Machinery 15 Transportation 16 Electrical Products 17 Non-Metallic Minerals 18 Petroleum and Coal 19 Chemical Products 20 Miscellaneous 1961-75 1961-70 1971-75 96 52 78* 85 91 117 105 92 87 105 101 149 90 69 45 97 94 246 80 72* 96 53 78* 86 86 114 105 90 89 103 99 151 91 67 46 103 93 215 79 71* 97 50 78 83 83 123 106 85 85 107 104 147 89 72 44 87 95 303 83 74 *Series begin in 1963.

Alternatively, our general expression (2-7) can be specialized to make a comparison ofthe efficiency levels across regions at a point in time (t = s) in terms of relative labor productivities. INTERTEMPORAL CHANGES IN LABOR PRODUCTIVITY 21 (2-10) Equation (2-10) can be used to measure the differences in regional efficiency in Canadian two-digit manufacturing. Differences in the level of labor productivity can be attributed to two broad components. The first one is the difference, ()io, in the level of TFP, and the second is the weighted sum of differences in the level of factor intensities 10g(XkJL i ) - 10g(Xko/Lo).

Christensen; and E. Diewert, 1980, "Multi-lateral Comparisons of Output, Input and Productivity Using Superlative Index Numbers," SSRI, WP8008 (revised) University of Wisconsin, Madison. , and M. Fuss, 1980, "Intertemporal and Interspatial Comparisons of Cost Efficiency and Productivity," IPA, WP #8018, University of Toronto, Toronto. ; M. Fuss; and J. D. May, 1981, "Intertemporal Changes in Regional Productivity in Canadian Manufacturing," Canadian Journal of Economics 14:390-408. Diewert, W. , 1976, "Exact and Superlative Index Numbers," Journal of Econometrics 4:115-145.

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