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Regional differences in productivity growth in The Netherlands: an industry-level growth accounting

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Author Info
Broersma, Lourens
Dijk, Jouke van (Groningen University)

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Abstract

It is well known that the productivity growth in Europe is slowing down, against an increasing growth rate in the US. The Netherlands is one of countries in Europe with the lowest growth rates of productivity. This paper presents the results of a growth accounting exercise applied to regional industry data of The Netherlands between 1995-2002. We find that low productivity growth in The Netherlands is particularly situated in the economic core regions of the west and south and is caused by slow growth of MFP. Compared to the more peripheral regions, MFP-growth is lower in all industries, except social and non-market services. The high level of traffic congestion and relatively low labour effort in the core regions can explain part of this slow MFP-growth.

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Paper provided by University of Groningen, CCSO Centre for Economic Research in its series CCSO Working Papers with number 200504.

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Date of creation: 2005
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Handle: RePEc:dgr:rugccs:200504

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  1. Ciccone, Antonio & Hall, Robert E, 1996. "Productivity and the Density of Economic Activity," American Economic Review, American Economic Association, vol. 86(1), pages 54-70, March. [Downloadable!] (restricted)
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  2. Bart van Ark & Robert Inklaar & Robert H. McGuckin, 2002. "'Changing Gear' - Productivity, ICT and Services Industries: Europe and the United States," Economics Program Working Papers 02-02, The Conference Board, Economics Program. [Downloadable!]
  3. Charles R. Hulten, 2001. "Total Factor Productivity. A Short Biography," NBER Chapters, in: New Developments in Productivity Analysis, pages 1-54 National Bureau of Economic Research, Inc. [Downloadable!]
  4. Francis Green, 1999. "It's been a hard day's night: The concentration and intensification of work in late 20th century Britain," Studies in Economics 9913, Department of Economics, University of Kent. [Downloadable!]
  5. Dale W. Jorgenson & Kevin J. Stiroh, 2000. "Raising the Speed Limit: U.S. Economic Growth in the Information Age," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 31(2000-1), pages 125-236. [Downloadable!]
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  6. Kevin J. Stiroh, 2002. "Information Technology and the U.S. Productivity Revival: What Do the Industry Data Say?," American Economic Review, American Economic Association, vol. 92(5), pages 1559-1576, December. [Downloadable!]
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  7. Erik Brynjolfsson & Chris F. Kemerer, 1993. "Network Externalities in Microcomputer Software: An Econometric Analysis of the Spreadsheet Market," Working Paper Series 158, MIT Center for Coordination Science. [Downloadable!]
  8. William D. Nordhaus, 2002. "Productivity Growth and the New Economy," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 33(2002-2), pages 211-265. [Downloadable!]
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  9. Lourens Broersma & Jouke Van Dijk, 2005. "Regional Differences In Labour Productivity In The Netherlands," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 96(3), pages 334-343, 07. [Downloadable!] (restricted)
  10. Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992. "Growth in Cities," Journal of Political Economy, University of Chicago Press, vol. 100(6), pages 1126-52, December. [Downloadable!] (restricted)
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    • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  11. Nicoletti, Giuseppe & Scarpetta, Stefano, 2003. "Regulation, productivity, and growth : OECD evidence," Policy Research Working Paper Series 2944, The World Bank. [Downloadable!]
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  12. Inklaar, Robert & Mahony, Mary O' & Timmer, Marcel, 2003. "ICT and Europe's productivity performance industry-level growth account comparisons with the United States," GGDC Research Memorandum 200368, Groningen Growth and Development Centre, University of Groningen. [Downloadable!]
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  13. Erik Brynjolfsson & Lorin M. Hitt, 2000. "Beyond Computation: Information Technology, Organizational Transformation and Business Performance," Journal of Economic Perspectives, American Economic Association, vol. 14(4), pages 23-48, Fall. [Downloadable!] (restricted)
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