---
canonical_url: "https://csls.ca/ipm-archive/ipm-issue-30/estimating-total-factor-productivity-growth-canadian-freight-railways-1986-to-2009/"
title: "Estimating Total Factor Productivity Growth: Canadian Freight Railways, 1986 to 2009"
author:
  name: "CSLS"
  url: "https://csls.ca/author/cslc/"
date_published: "2026-07-13T07:40:50+00:00"
date_modified: "2026-07-13T07:40:50+00:00"
post_type: "ipm"
summary: ""
ipm_issue_period:
  - "Spring 2016"
ipm_keyword:
  - "Canada"
  - "Canadian National"
  - "Canadian Pacific"
  - "CN"
  - "CP"
  - "firm-level"
  - "freight"
  - "privatization"
  - "productivity"
  - "railways"
  - "TFP"
ipm_research_theme:
  - "Sectoral and firm-level dynamics"
ipm_country_focus:
  - "Canada"
featured_image: "https://csls.ca/wp-content/uploads/2026/06/IPM_50_banner.webp"
status: "publish"
---

# Estimating Total Factor Productivity Growth: Canadian Freight Railways, 1986 to 2009

Canonical URL: https://csls.ca/ipm-archive/ipm-issue-30/estimating-total-factor-productivity-growth-canadian-freight-railways-1986-to-2009/

# Estimating Total Factor Productivity Growth: Canadian Freight Railways, 1986 to 2009

[Download full PDF article](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-30-5-Uguccioni.pdf)

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Cite this article as:

Uguccioni, James. 2016. “Estimating Total Factor Productivity Growth: Canadian Freight Railways, 1986 to 2009.” International Productivity Monitor, No. 30 (Spring 2016): 77–97. https://www.csls.ca/ipm-archive/ipm-issue-30/estimating-total-factor-productivity-growth-canadian-freight-railways-1986-to-2009/

## Author:

-
James Uguccioni
Centre for the Study of Living Standards (CSLS)

## IPM Issue 30

Spring 2016 pp. 77–97

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## Abstract

## Résumé

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This article estimates TFP growth for Canadian National (CN) and Canadian Pacific (CP) railways over 1986-2009 using both index numbers and econometric cost function methods. Combined TFP growth averaged 3.94 per cent per year, far above the business sector average. CN outperformed CP (estimated 4.42 vs. 3.12 per cent using index numbers), with much of the gain attributed to precision railroad operational improvements under Hunter Harrison. The 1995 privatization of CN did not materially change its productivity trajectory.

Cet article estime la croissance de la PMF pour les chemins de fer du Canadien National (CN) et du Canadien Pacifique (CP) sur la période 1986-2009, en utilisant à la fois les méthodes des indices et les méthodes économétriques de fonctions de coût. La croissance combinée de la PMF a été en moyenne de 3,94 % par année, bien au-dessus de la moyenne du secteur des entreprises. Le CN a surpassé le CP (estimation de 4,42 contre 3,12 % selon les indices), une grande partie des gains étant attribuée aux améliorations opérationnelles ferroviaires de précision sous Hunter Harrison. La privatisation du CN en 1995 n’a pas matériellement modifié sa trajectoire de productivité.

[Download full PDF](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-30-5-Uguccioni.pdf)
