We propose a measure of technological progress based on the information embedded in standard input-output tables. A connection is established between the quantities necessary as inputs, the associated output and auxiliary prices. It is argued that the wage-profit frontiers and the associated production prices together provide a robust basis for measuring technological progress and productivities. The computation of the wage-profit frontiers is a non-trivial exercise because of high combinatorial complexity. An algorithm that renders this computation feasible is presented. We analyze technological progress and productivities among 30 countries between 1995-2011 using the latest multi-regional input-output data.

In this paper we propose a method of productivity accounting based on production prices. By using input-output tables from four major OECD countries between 1970 and 2000, we compute the associated wage-profit frontiers and the net national products, and from these we derive two measures of productivity growth based on production prices and a chosen numéraire. Our findings support the general conclusions in the existing literature on the productivity slowdown and later rebound, and supply new important insights to the extent and timing of these events.