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Measuring Total Factor Productivity: Growth Accounting for Bulgaria

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  • Kaloyan Ganev

    (Agency for Economic Analysis & Forecasting)

Abstract

Total factor productivity measurement enables researchers to determine the contribution of supply-side production factors to economic growth. For Bulgaria, which is a transition economy, it is difficult to construct a production function with stable parameters, mostly because there are atypical developments of capital and labor during periods of economic growth, as well as due to the lack of sufficiently long and dependable data series. In this respect, growth accounting enables us to identify the basic sources and directions of influences. The calculations that have been carried out in this paper help in the identification of total factor productivity development as the main driving force of economic growth. The likely reasons for this strong influence have been also outlined.

Suggested Citation

  • Kaloyan Ganev, 2005. "Measuring Total Factor Productivity: Growth Accounting for Bulgaria," GE, Growth, Math methods 0504004, University Library of Munich, Germany, revised 21 Apr 2005.
    • Handle: RePEc:wpa:wuwpge:0504004
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    References listed on IDEAS

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    Cited by:

    1. Aleksandar Vasilev, 2015. "Welfare gains from the adoption of proportional taxation in a general-equilibrium model with a grey economy: the case of Bulgaria’s 2008 flat tax reform," Economic Change and Restructuring, Springer, vol. 48(2), pages 169-185, May.
    2. Ganev, Kaloyan, 2015. "A Small Model for Output Gap and Potential Growth Estimation. An Application to Bulgaria," MPRA Paper 63546, University Library of Munich, Germany.
    3. Vasilev, Aleksandar, 2009. "Business cycles in Bulgaria and the Baltic countries: an RBC approach," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 1(2), pages 148-170.
    4. Vasilev, Aleksandar & Gesheva, Nadezhda, 2017. "Revisiting the Invisible Hand Hypothesis: A Comparative Study between Bulgaria and Germany," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 8(1), pages 45-77.
    5. Kalina Durova, 2018. "Long-Term Impact of the European Funds on Bulgaria's Economy," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 3, pages 325-333, September.
    6. Aleksandar Vasilev, 2016. "Progressive taxation and (in)stability in an endogenous growth model with human capital accumulation," Journal of Economics and Econometrics, Economics and Econometrics Society, vol. 59(2), pages 1-15.
    7. Milena Pesheva & Aleksandar Vasilev, 2017. "Endogenising Total Factor Productivity: The Foreign Direct Investment Channel in the Case of Bulgaria (2004-2013)," South-Eastern Europe Journal of Economics, Association of Economic Universities of South and Eastern Europe and the Black Sea Region, vol. 15(2), pages 127-145.
    8. Gatti, Roberta & Love, Inessa, 2006. "Does access to credit improve productivity ? Evidence from Bulgarian firms," Policy Research Working Paper Series 3921, The World Bank.
    9. repec:zbw:espost:170565 is not listed on IDEAS
    10. Vasilev, Aleksandar, 2015. "The welfare effect of flat income tax reform: the case of Bulgaria," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 53(3), pages 205-220.
    11. Dimitar Zlatinov & Bozhidar Nedev & Ilia Atanasov & Nedko Kosev, 2019. "Effects on the Economic Growth in Bulgaria during the Transition to Low-Carbon Economy in the Energy Sector," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 6, pages 110-127.
    12. Dilian Vassilev, 2021. "A Model of Natural Interest Rate: The Case of Bulgaria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 7, pages 46-72.
    13. Roberta Gatti & Inessa Love, 2008. "Does access to credit improve productivity? Evidence from Bulgaria1," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 16(3), pages 445-465, July.
    14. Kaloyan Ganev, 2005. "Can Educational Attainment Explain Total Factor Productivity? Growth Accounting Evidence from Seven Transition Countries for the Period 1991-2000," GE, Growth, Math methods 0512004, University Library of Munich, Germany.
    15. Vasilev, Aleksandar, 2016. "Progressive taxation and (in)stability in an endogenous growth model with human capital accumulation: the case of Bulgaria," EconStor Preprints 144212, ZBW - Leibniz Information Centre for Economics.
    16. Stela Raleva, 2023. "Characteristics and Factors of Economic Growth in Bulgaria (1970–2008)," Proceedings of the Centre for Economic History Research, Centre for Economic History Research, vol. 8, pages 209-221, November.
    17. Ivan Todorov, 2016. "Supply-Side Factors of Economic Growth in Bulgaria," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 2, pages 159-174, June.
    18. Mariya Neycheva, 2013. "Does higher level of education of the labor force cause growth? Evidence from Bulgaria," Economic Change and Restructuring, Springer, vol. 46(3), pages 321-339, August.
    19. Ivan Todorov, 2017. "Bulgaria’s Cyclical Position and Market (Dis)equilibria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 5, pages 30-64.
    20. Zoran Boroviæ & Mladen Rebiæ & Dalibor Tomaš, 2020. "Total factor productivity drivers in the selected EU countries: Cointegration approach," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 38(1), pages 295-315.
    21. Goce Petreski & Darko Lazarov, 2017. "Drivers of Economic Growth: A Comparative Analysis of Macedonia and Bulgaria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 6, pages 3-16.
    22. Nikolay Peykov, 2021. "Sectoral Output Gaps – Estimates for Bulgaria," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 1, pages 5-26, March.

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    More about this item

    Keywords

    Economic Growth; total factor productivity;

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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