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Technological Progress and Factor Utilization in Eastern European Economic Growth

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  • Brada, Josef C

Abstract

Frontier production functions are estimated for the industrial sector of four East European countries: Czechoslovakia, the German Democratic Republic, Hungary, and Poland. The estimates reveal that the slowdown in industrial growth in these countries is due to a decline in the efficiency or intensity of factor utilization rather than to declining rates of growth of technological progress. In all countries, changes in the efficiency of resource utilization are found to be more responsive to changes in macroeconomic policies than to economic reforms. Finally, the amount of labor that could be displaced during cyclical downturns is estimated and found to imply potentially high levels of disguised unemployment. Copyright 1989 by The London School of Economics and Political Science.

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Bibliographic Info

Article provided by London School of Economics and Political Science in its journal Economica.

Volume (Year): 56 (1989)
Issue (Month): 224 (November)
Pages: 433-48

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Handle: RePEc:bla:econom:v:56:y:1989:i:224:p:433-48

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Cited by:
  1. Milanovic, Branko, 1990. "Poverty in Poland, Hungary, and Yugoslavia in the years of crisis, 1978-87," Policy Research Working Paper Series 507, The World Bank.
  2. Özlem Onaran, 2008. "Jobless Growth in the Central and Eastern European Countries," Working Papers wp165, Political Economy Research Institute, University of Massachusetts at Amherst.
  3. Falkowski, Jan & Jakubowski, Maciej & Strawinski, Pawel, 2013. "Returns from Income Strategies in Rural Poland," Factor Markets Working Papers 178, Centre for European Policy Studies.
  4. Roberts, Bryan W. & Rodriguez, Alvaro, 1997. "Economic Growth under a Self-Interested Central Planner and Transition to a Market Economy," Journal of Comparative Economics, Elsevier, vol. 24(2), pages 121-139, April.
  5. A. Tonini, 2012. "A Bayesian stochastic frontier: an application to agricultural productivity growth in European countries," Economic Change and Restructuring, Springer, vol. 45(4), pages 247-269, November.
  6. Johan F. M. Swinnen & Liesbeth Dries & Karen Macours, 2005. "Transition and agricultural labor," Agricultural Economics, International Association of Agricultural Economists, vol. 32(1), pages 15-34, 01.
  7. Jones, Derek & Klinedinst, Mark & Rock, Charles, 1998. "Productive Efficiency during Transition: Evidence from Bulgarian Panel Data," Journal of Comparative Economics, Elsevier, vol. 26(3), pages 446-464, September.
  8. Rutkowski, Michael, 1995. "Workers in transition," Policy Research Working Paper Series 1556, The World Bank.
  9. Swinnen, Johan F.M., 2004. "Policy Reform and Agricultural Adjustment in Transition Countries," IAPRAP\IATRC Summer Symposium, Adjusting to Domestic and International Agricultural Reform in Industrial Countries, June 6-7, 2004, Philadelphia, PA 15761, International Agricultural Policy Reform and Adjustment Project (IAPRAP).
  10. Broadberry, Stephen & Klein, Alexander, 2011. "When and why did eastern European economies begin to fail? Lessons from a Czechoslovak/UK productivity comparison, 1921-1991," Explorations in Economic History, Elsevier, vol. 48(1), pages 37-52, January.
  11. Svejnar, Jan & Terrell, Katherine, 1991. "Reducing labor redundancy in state owned enterprises," Policy Research Working Paper Series 792, The World Bank.
  12. Brixiova, Zuzana & Bulir, Ales, 2003. "Output performance under central planning: a model of poor incentives," Economic Systems, Elsevier, vol. 27(1), pages 27-39, March.
  13. Dries, Liesbeth & Swinnen, Johan F. M., 2002. "Institutional Reform and Labor Reallocation During Transition: Theory Evidence From Polish Agriculture," World Development, Elsevier, vol. 30(3), pages 457-474, March.
  14. Raul Eamets & Kadri Ukrainski, 2000. "Hidden Unemployment in Estonia: Experience from the Early Years of Transition (1989-1996)," Post-Communist Economies, Taylor & Francis Journals, vol. 12(4), pages 463-484.

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