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Another look at technical efficiency in American states, 1979–2000

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  • Gregory Brock
  • Constantin Ogloblin

Abstract

A recently developed stochastic frontier production function methodology is used to estimate econometrically how technical efficiency, technological progress, and returns to scale contributed to US states’ economic growth in 1979–2000. Improved regional human capital data that are superior to the traditional “years of school” data are included. In support of the prior literature, overall technical inefficiency is found to be low but unlike earlier studies diverging over time with almost no shifting of the aggregate frontier. Efficiency is positively associated with relative historical wealth, human capital, relatively worse recession experience, greater market concentration, and a smaller informal economy. Copyright Springer-Verlag Berlin Heidelberg 2014

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  • Gregory Brock & Constantin Ogloblin, 2014. "Another look at technical efficiency in American states, 1979–2000," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(2), pages 577-590, September.
    • Handle: RePEc:spr:anresc:v:53:y:2014:i:2:p:577-590
    DOI: 10.1007/s00168-014-0633-1
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    Cited by:

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    2. Makram El‐Shagi & Steven Yamarik, 2019. "State‐level capital and investment: Refinements and update," Growth and Change, Wiley Blackwell, vol. 50(4), pages 1411-1422, December.
    3. Julián Ramajo & José Manuel Cordero & Miguel Ángel Márquez, 2017. "European regional efficiency and geographical externalities: a spatial nonparametric frontier analysis," Journal of Geographical Systems, Springer, vol. 19(4), pages 319-348, October.
    4. Gregory Brock, 2016. "Creative destruction on the Chechen frontier?," Post-Communist Economies, Taylor & Francis Journals, vol. 28(2), pages 220-231, April.
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    More about this item

    Keywords

    R1; O4; O0;
    All these keywords.

    JEL classification:

    • R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • O0 - Economic Development, Innovation, Technological Change, and Growth - - General

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