---
canonical_url: "https://csls.ca/ipm-archive/ipm-issue-36/japans-prefectural-level-klems-productivity-comparison-and-service-price-differences/"
title: "Japan&#8217;s Prefectural-level KLEMS: Productivity Comparison and Service Price Differences"
author:
  name: "CSLS"
  url: "https://csls.ca/author/cslc/"
date_published: "2026-07-13T07:52:50+00:00"
date_modified: "2026-07-13T07:52:50+00:00"
post_type: "ipm"
summary: ""
ipm_issue_period:
  - "Spring 2019"
ipm_keyword:
  - "47 prefectures"
  - "Balassa-Samuelson"
  - "CPD method"
  - "Japan"
  - "prefectural KLEMS"
  - "productivity"
  - "R-JIP"
  - "regional"
  - "RIETI"
  - "service prices"
ipm_research_theme:
  - "Measurement and methodology"
ipm_country_focus:
  - "Japan"
featured_image: "https://csls.ca/wp-content/uploads/2026/06/IPM_50_banner.webp"
status: "publish"
---

# Japan’s Prefectural-level KLEMS: Productivity Comparison and Service Price Differences

Canonical URL: https://csls.ca/ipm-archive/ipm-issue-36/japans-prefectural-level-klems-productivity-comparison-and-service-price-differences/

# Japan’s Prefectural-level KLEMS: Productivity Comparison and Service Price Differences

[Download full PDF article](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-36-7-Tokui-Mizuta.pdf)

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Cite this article as:

Tokui, Joji, and Takeshi Mizuta. 2019. “Japan’s Prefectural-level KLEMS: Productivity Comparison and Service Price Differences.” International Productivity Monitor, No. 36 (Spring 2019): 142–160. https://www.csls.ca/ipm-archive/ipm-issue-36/japans-prefectural-level-klems-productivity-comparison-and-service-price-differences/

## Authors:

-
Joji Tokui
Shinshu University / RIETI

-
Takeshi Mizuta
Hitotsubashi University

## IPM Issue 36

Spring 2019 pp. 142–160

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## Abstract

## Résumé

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This article compiles the Regional-level Japan Industrial Productivity (R-JIP) database for Japan’s 47 prefectures and conducts productivity comparisons. A key challenge is handling service price variation across regions. Applying the Country-Product-Dummy (CPD) method to estimate cross-regional price-level differences in five service industries, the authors find that adjusting for price variation reduces the standard deviation of cross-regional TFP difference indices by approximately 13 per cent. The Balassa-Samuelson effect — larger in economically richer regions — is confirmed at the regional level.

Cet article compile la base de données de productivité industrielle régionale du Japon (R-JIP) pour les 47 préfectures du Japon et effectue des comparaisons de productivité. Un défi clé est la prise en compte de la variation des prix des services entre les régions. En appliquant la méthode Country-Product-Dummy (CPD) pour estimer les différences de niveau de prix interrégionales dans cinq industries de services, les auteurs constatent que l’ajustement pour la variation des prix réduit l’écart-type des indices de différence de PMF interrégionale d’environ 13 %. L’effet Balassa-Samuelson — plus important dans les régions économiquement plus riches — est confirmé au niveau régional.

[Download full PDF](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-36-7-Tokui-Mizuta.pdf)
