This exploratory research looks at the role of capital expenditures in the food manufacturing
industries in the face of industry productivity changes and industry restructuring.
position as the economy’s largest manufacturing industry in shipments is compared
with its share of total capital expenditures. Gross capital stock, net capital stock,
stock, and net constant stock are examined to estimate changing capital base. Rates
change in multifactor and output per man hour productivity are compared with rates
in new capital expenditures, Major industrial reorganization has taken place in food
because of mergers, acquisitions, and leveraged buyouts. The change in capital expenditures
following these transactions is examined to determine their impact on industry investment.