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Productivity and Technical Change: The Case of Taiwan

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Author Info
Fare, Rolf
Grosskopf, Shawna
Lee, Wen-Fu

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Abstract

This paper analyses productivity growth in 16 of Taiwan's manufacturing industries during the period 1978-92. The non-parametric Data Envelopment Analysis approach is used to compute Malmquist productivity indexes. These are decomposed into efficiency change and technical change. The latter is further decomposed into an output bias, an input bias and a magnitude component. In addition, the direction of input bias is identified. Empirical results indicate that the sector's TFP increased at a rate of 2.89% per annum, which could be ascribed to a technical progress (2.56%) and an efficiency improvement (0.33%). Copyright 2001 by Taylor and Francis Group

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Article provided by Taylor and Francis Journals in its journal Applied Economics.

Volume (Year): 33 (2001)
Issue (Month): 15 (December)
Pages: 1911-25
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Handle: RePEc:taf:applec:v:33:y:2001:i:15:p:1911-25

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Binswanger, Hans P, 1974. "The Measurement of Technical Change Biases with Many Factors of Production," American Economic Review, American Economic Association, vol. 64(6), pages 964-76, December. [Downloadable!] (restricted)
  2. Diewert, Erwin, 2007. "Index Numbers," UBC Departmental Archives diewert-07-01-03-08-17-23, UBC Department of Economics, revised 31 Jan 2007. [Downloadable!]
  3. Diewert, W E, 1980. "Capital and the Theory of Productivity Measurement," American Economic Review, American Economic Association, vol. 70(2), pages 260-67, May. [Downloadable!] (restricted)
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  1. Kumar, Surender, 2004. "Decomposition of total factor productivity growth: A regional analysis of Indian industrial manufacturing growth," Working Papers 22, National Institute of Public Finance and Policy. [Downloadable!]
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