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Does the European Union need to revive productivity growth

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  • Ark, Bart van

    (Groningen University)

Abstract

This paper studies procyclical productivity growth at the industry level in the U.S. and in three European countries (France, Germany and the Netherlands). Industry-specific demand-side instruments are used to examine the prevalence of non-constant returns to scale and unmeasured input utilization. For the aggregate U.S. economy, unmeasured input utilization seems to explain procyclical productivity. However, this correction still leaves one in three U.S. industries with procyclical productivity. This failure of the model can also be seen in Europe and is mostly concentrated in services industries.

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File URL: http://irs.ub.rug.nl/ppn/275090787
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Bibliographic Info

Paper provided by Groningen Growth and Development Centre, University of Groningen in its series GGDC Research Memorandum with number 200575.

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Date of creation: 2005
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Handle: RePEc:dgr:rugggd:200575

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Cited by:
  1. Annette Bongardt* & Francisco Torres**, 2007. "Institutions, Governance and Economic Growth in the EU: Is There a Role for the Lisbon Strategy?," Intereconomics: Review of European Economic Policy, Springer, vol. 42(1), pages 32-42, January.
  2. Catherine Mann, 2011. "Information Technology, Globalization, and Growth: Role for Scale Economies, Terms of Trade, and Variety," Working Papers 27, Brandeis University, Department of Economics and International Businesss School.
  3. Jacob Funk Kirkegaard, 2007. "Offshoring, Outsourcing, and Production Relocation—Labor-Market Effects in the OECD Countries and Developing Asia," Working Paper Series WP07-2, Peterson Institute for International Economics.
  4. Elizabeth Brainerd & Nidhiya Menon, 2013. "Seasonal Effects of Water Quality: The Hidden Costs of the Green Revolution to Infant and Child Health in India," Working Papers 64, Brandeis University, Department of Economics and International Businesss School.

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