BIASED TECHNICAL CHANGE AND THE MALMQUIST PRODUCTIVITY INDEX

The Malmquist productivity index has many attractive features. One is that it can be epxressed as the product of a technical efficiency chan ge index and a technical change index. In this paper we express the te chnical change index as the product of a magnitude index and a bias in dex. We then express the bias index as the product of an output bias i ndex and an input bias index, and we state conditions under which each bias index makes no contribution to productivity change.