The Effect of Technology Choice on Automobile Assembly Plant Productivity
Productivity growth is usually represented by a continuous shift of the production or cost function. In the automobile industry, there is evidence of a more discrete change in the technology. I estimate a structural model of production and technology choice, using a panel of US automobile assembly plants from 1963 to 1996. New decomposition results suggest that plant-level changes, as opposed to compositional effects, are the most important determinant of aggregate productivity growth.
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- John Kwoka, 2001. "Automobiles: The Old Economy Collides with the New," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 19(1), pages 55-69, August.
- Johannes van Biesebroeck, 2003.
"Productivity Dynamics with Technology Choice: An Application to Automobile Assembly,"
Review of Economic Studies,
Oxford University Press, vol. 70(1), pages 167-198.
- Johannes Van Biesebroeck, 2000. "Measuring Productivity Dynamics with Endogenous Choice of Technology and Capacity Utilization: An Application to Automobile Assembly," Working Papers 00-16, Center for Economic Studies, U.S. Census Bureau.
- James Levinsohn & Amil Petrin, 1999. "When Industries Become More Productive, Do Firms?," NBER Working Papers 6893, National Bureau of Economic Research, Inc.
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