Nonfinancial Corporations Sector: Profits for Employees

Percent Change at Annual Rate

PRS88003182 • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

-9.60

Year-over-Year Change

-455.56%

Date Range

4/1/1947 - 1/1/2025

Summary

The Percent Change at Annual Rate is a key measure of productivity growth used by economists and policymakers to assess the economy's long-term performance.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This metric calculates the annualized rate of change in productivity, a critical driver of economic growth and living standards. It's closely watched by the Federal Reserve and other institutions to evaluate the economy's productive capacity.

Methodology

The data is collected by the U.S. Bureau of Labor Statistics through surveys of businesses and government agencies.

Historical Context

Productivity trends significantly impact monetary and fiscal policy decisions.

Key Facts

  • Productivity growth averaged 1.5% annually from 2010-2020.
  • The highest annual productivity growth rate in the last decade was 3.6% in 2020.
  • Slower productivity gains can constrain wage growth and living standards.

FAQs

Q: What does this economic trend measure?

A: The Percent Change at Annual Rate measures the year-over-year change in labor productivity, which is output per hour worked in the nonfarm business sector.

Q: Why is this trend relevant for users or analysts?

A: Productivity growth is a key driver of economic expansion and improvements in living standards over time. This metric is closely watched by policymakers and economists to assess the economy's long-term performance.

Q: How is this data collected or calculated?

A: The data is collected by the U.S. Bureau of Labor Statistics through surveys of businesses and government agencies, and the percent change is calculated as an annualized rate.

Q: How is this trend used in economic policy?

A: Productivity growth trends significantly impact monetary and fiscal policy decisions, as they affect the economy's productive capacity, inflation pressures, and long-term growth potential.

Q: Are there update delays or limitations?

A: The data is published quarterly with a lag of approximately one month, and may be subject to revisions as more complete information becomes available.

Similar PRS Trends

Citation

U.S. Federal Reserve, Percent Change at Annual Rate (PRS88003182), retrieved from FRED.