Vekstregnskap

Vekstregnskap, a Norwegian term, translates to "growth accounting" in English. It is an economic framework used to analyze the sources of economic growth within a country or region. This method breaks down the overall increase in output into contributions from different factors of production, primarily labor and capital, and a residual term representing technological progress or total factor productivity (TFP).

The core idea behind growth accounting is to attribute changes in output to changes in the quantities of inputs used and to improvements in the efficiency with which these inputs are combined. By measuring the growth rates of capital, labor, and output, economists can estimate the impact of each on economic expansion. The residual, often referred to as the "Solow residual" after economist Robert Solow, is interpreted as the part of growth that cannot be explained by observable increases in capital and labor alone, and is thus attributed to advancements in technology, innovation, and organizational improvements.

In practice, growth accounting involves constructing growth equations, often based on a production function. These equations allow for the quantification of the marginal product of each input and its respective share in national income. By applying these shares to the growth rates of the inputs, the contribution of each factor to overall output growth can be calculated. This analytical tool is valuable for policymakers seeking to understand the drivers of economic performance and to identify areas where policy interventions might be most effective in fostering sustained growth.