Labour and profit share of value added, computed from the Penn World Table for any country set. A country's own share is exactly PWT's labour-share series (labsh) — this page's real subject is what happens to the group figure when countries are combined differently. The same weighting dispute that applies to the world rate of profit applies here.
labour_share = v / (s + v) · profit_share = s / (s + v) · s = Y(1 − labsh) · v = Y · labsh
In plain terms: take a country's total output in a year (Y).
Split it into what goes to wages (v, "variable capital" in Marx's terms) and what's
left as profit (s, "surplus"). Labour share is the wages slice; profit share is the
profit slice — they always add up to the whole. labsh is simply PWT's own
published wage-share number for a country; this page uses it, doesn't recompute it. The
only real question the controls below let you ask is: once you have every country's own
wages-vs-profit split, how do you combine them into one number for the group you picked?
That choice — not the underlying data — is what moves the group figure.