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Human Capital, Innovation, and Productivity Growth: Tales from Latin America and Caribbean

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Author Info
Yoruk, Baris

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Abstract

Why have Latin American and Caribbean countries (LAC countries) not replicated Western economic success? We investigate the reasons behind the economic stagnation of LAC countries for the past four decades. We utilize a nonparametric Malmquist productivity index for relevant cross-country and over time productivity growth, technological change, and technical efficiency change comparisons. We document that productivity growth differences between LAC countries and Western countries can only partially be attributed to human capital differences. We argue that along with inefficient production, differences in civil, political, and economic policies and institutions are promising factors in explaining the long-run economic performance of LAC countries.

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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 3667.

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Date of creation: 15 May 2007
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Handle: RePEc:pra:mprapa:3667

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Related research
Keywords: Caribbean; Latin America; Institutions; Malmquist productivity index;

Find related papers by JEL classification:
O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
N26 - Economic History - - Financial Markets and Institutions - - - Latin America; Caribbean
P52 - Economic Systems - - Comparative Economic Systems - - - Comparative Studies of Particular Economies

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  10. Fare, Rolf & Shawna Grosskopf & Mary Norris & Zhongyang Zhang, 1994. "Productivity Growth, Technical Progress, and Efficiency Change in Industrialized Countries," American Economic Review, American Economic Association, vol. 84(1), pages 66-83, March. [Downloadable!] (restricted)
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