Estimating Technology’s Impact on Underground Coal Productivity

1977 was the modern day low point for productivity in the coal industry. At that time, no one could have predicted that the industry was about to enter a productivity rise that would continue unabated through the 1980s. Thirteen years later, the cause of this phenomenon is still not well understood. While many government studies focused on the fall in productivity from 1969 to 1977, none have been undertaken to explain the rise. Some of the likely causes of the gain in productivity during this period will be discussed here. An attempt will also be made to quantify the value of some of the technical innovations that have taken place. The remainder of the gain is assumed to come from non-technical sources. The nature of these sources, although largely non-quantifiable, is also discussed. Since the number of mines that have adopted the technical innovations noted here is largely unknown, the actual contribu¬tion of technological changes to the overall productivity gain can only be estimated.