Broadcasting Productivity Growth in the UK

In this study, we use enterprise-level data to calculate estimates of labour productivity growth in the UK broadcasting sector between 1999 and 2004 and TFP growth between 1998 and 2004. We present estimates using both gross output and gross value added. We also present TFP estimates separately for the TV and radio sectors and broken down by employment class size and also the decomposition of TFP into technical change and efficiency catch-up. All our estimates suggest that the broadcasting sector has experienced positive productivity growth over recent years. Productivity growth is found across the size distribution of firms. Technical change appears to have contributed most to productivity growth, although we also observe positive growth in efficiency catch-up. The finding of positive productivity growth over the period appears generally to be robust to alternative estimation procedures, to alternative price deflators (although this has an impact on the magnitude of the estimates) and to separate estimation of the TV and Radio sectors.