Explaining International Productivity Differences
Abstract
In this paper we add new results to the emerging field of investigating productivity levels rather than productivity change, as initiated by Hall and Jones (1996, 1997). To obtain measures of relative productivity levels we depart from traditional growth accounting and calculate the Malmquist index of total factor productivity change using the nonparametric Data Envelopment Analysis (DEA) for a broad cross country sample. This index can be decomposed in measures of technological progress and efficiency change that are cumulated to level measures. The so obtained heterogeneity in productivity levels is next related to several determinants of technology driven growth in an econometric exercise. Doing this (1) we are able to provide confimation of the validity of the decomposition of the Malmquist index and (2) we find innovation-related explanations for international technological frontier shifts and imitative catching up and falling behind.Download Info
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Paper provided by Universitaet Augsburg, Institute for Economics in its series Discussion Paper Series with number 179.Length: pages
Date of creation: Aug 1998
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Handle: RePEc:aug:augsbe:0179
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- Jens J. Krüger & Uwe Cantner & Horst Hanusch, 2003. "Explaining International Productivity Differences," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 223(6), pages 659-679, November.
- Krüger, Jens & Cantner, Uwe & Hanusch, Horst, 2003. "Explaining International Productivity Differences," Publications of Darmstadt Technical University, Institute of Economics (VWL) 34385, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute of Economics (VWL).
- O33 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
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