Agriculture Reference
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and Finland exhibited a decline in global intermediate input. There are
increases in capital for all countries, except Sweden, the United Kingdom,
Finland and Portugal. Labour decreased for all countries, but mainly in
Spain and Finland. The decline in land use is generally small.
Differences between input growth and output growth in Table 5.2
measure growth rates in intensities. A decline in intensity is interpreted
alternatively as a rise in partial productivity. It is generally agreed that
intermediate consumption productivity remains at constant level, the
increase in total factor productivity being due to an increase in labour
productivity (OECD, 1995). Although the comment on intermediate
consumption is perhaps right in mean, this is not found to be the general
case, because the intensity of intermediate consumption has no regular
pattern of change. A diversity of patterns emerges with respect to the
intensification of intermediate consumption. Only Ireland showed increases
in input intensities for all variable inputs.
Despite these heterogeneous patterns, two recognisable clusters of
countries were identified concerning both energy and energy based inputs.
The first group comprises Greece, Ireland and Spain, showing that factor
intensities increase. The second group, consisting of Austria, Denmark,
Finland, France, Germany and Sweden, shows a consistent decrease in
input intensities.
Based on the previous findings, the methodology explained in
Section 2.3 was applied. The analytical approach implemented rests upon
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