One-third rule

Labor Productivity

Real GDP per labor hour	2001	$20.00
Real GDP per labor hour	2007	$21.50
Capital per labor hour	2001	$35.00
Capital per labor hour	2007	$36.80

Growth in labor productivity = $21.50/$20.00 - 1 = 7.50%

Growth in capital per labor hour = $36.80/$35.00 - 1 = 5.14%
One-third rule: 5.14%*(1/3) = 1.71% → A part of increase in labor productivity

Growth in labor productivity due to improvements in technology: 7.50% - 1.71% = 5.79%