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Demographics and recent productivity performance: insights from cross-country comparisons

Author

Listed:
  • Paul Beaudry
  • Fabrice Collard
  • David Green

Abstract

Over the last few decades, countries have experienced quite different patterns of productivity growth. In this paper, we emphasize the role of country level demographics in explaining these differences. In particular, looking over the period 1960-2002, we show that cross-country data support the notion that, starting in the late 1970s, countries went through a period of technological transition that lasted at least until the mid-1990s for the fastest adjusting countries and is still proceeding for the slower adjusting countries. The main claim of the paper is that the country-level rate of labour growth was a key factor driving the speed of adjustment to the new technological paradigm, implying that much of the cross-country difference in economic performance over recent decades can be explained by demographic differences across countries as opposed to the many other factors emphasized in the literature.

Suggested Citation

  • Paul Beaudry & Fabrice Collard & David Green, 2005. "Demographics and recent productivity performance: insights from cross-country comparisons," Canadian Journal of Economics, Canadian Economics Association, vol. 38(2), pages 309-344, May.
  • Handle: RePEc:cje:issued:v:38:y:2005:i:2:p:309-344
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    Citations

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    Cited by:

    1. Erika Farnstrand Damsgaard, 2008. "The World Distribution of Productivity: Country TFP Choice in a Nelson-Phelps Economy," 2008 Meeting Papers 176, Society for Economic Dynamics.
    2. Albert van der Horst & Hugo Rojas-Romagosa & Leon Bettendorf, 2009. "Does employment affect productivity?," CPB Discussion Paper 119, CPB Netherlands Bureau for Economic Policy Analysis.
    3. Katerina Koka, 2015. "The Impact of the Population Age Structure on the Response to Negative Asset Shocks," Economics Bulletin, AccessEcon, vol. 35(4), pages 2270-2281.
    4. repec:agr:journl:v:4(605):y:2015:i:4(605):p:309-320 is not listed on IDEAS
    5. Andreea Claudia ȘERBAN & Mirela Ionela ACELEANU, 2015. "Current Demographic Trends – A New Challenge for the Labour Market," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania - AGER, vol. 0(4(605), W), pages 309-320, Winter.
    6. Ian Dew-Becker & Robert J. Gordon, 2008. "The Role of Labor Market Changes in the Slowdown of European Productivity Growth," NBER Working Papers 13840, National Bureau of Economic Research, Inc.
    7. Jun Liu & Chun Hui & Cynthia Lee & Zhen Xiong Chen, 2013. "Why Do I Feel Valued and Why Do I Contribute? A Relational Approach to Employee's Organization-Based Self-Esteem and Job Performance," Journal of Management Studies, Wiley Blackwell, vol. 50(6), pages 1018-1040, September.
    8. Brito, Paulo & Dilão, Rui, 2010. "Equilibrium price dynamics in an overlapping-generations exchange economy," Journal of Mathematical Economics, Elsevier, vol. 46(3), pages 343-355, May.
    9. Paul Beaudry & David A. Green & Benjamin Sand, 2007. "Spill-Overs from Good Jobs," NBER Working Papers 13006, National Bureau of Economic Research, Inc.
    10. Paul Beaudry & Fabrice Collard & David A. Green, 2005. "Explaining Productivity Growth: The Role of Demographics," International Productivity Monitor, Centre for the Study of Living Standards, vol. 10, pages 45-58, Spring.

    More about this item

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

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