Total Factor Productivity, Single Factor Productivity and Economic Growth

Total factor productivity is an important index to the quality of economic growth. The value of TFP lies in its highly abstract one-dimension data that can be used conveniently to denote the efficiency of economic growth. However, when there are structural problems in economic growth, TFP cannot provide valuable clues to the solution of actual economic problems. Under this circumstance, it is necessary to go back to single factor productivity, through whose evolution regularity the change and transition of economic growth mode of a particular economy can be studied and understood.