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Evaluating Total Factor Productivity Differences by a Mapping Structure in Growth Models

Author

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  • Rosa Bernardini Papalia

    (Dipartimento di Scienze Statistiche, Università di Bologna, Bologna, Italy, rossella.bernardini@unibo.it)

  • Silvia Bertarelli

    (Dipartimento di Economia Istituzioni Territorio, Università di Ferrara, Ferrara, Italy, silvia.bertarelli@unife.it)

Abstract

The article aims at providing a suitable measure of total factor productivity (TFP) levels within the conditional convergence framework by introducing unobserved heterogeneity in terms of a ‘‘mapping model’’. Our goal is twofold. First, we develop a generalized maximum entropy estimation procedure to account for ill-posed and ill-conditioned inference problems in estimating a conditional convergence regression with fixed effects and heterogeneous coefficients across regions. Second, we provide an endogenous spatial representation of unobserved fixed effects by using a multidimensional scaling technique. The proposed approach is applied to assess the existence of catching-up across Italian regions over the period 1960—1995 and to identify the effects of technology and geographic spillovers on the determination of TFP levels.

Suggested Citation

  • Rosa Bernardini Papalia & Silvia Bertarelli, 2010. "Evaluating Total Factor Productivity Differences by a Mapping Structure in Growth Models," International Regional Science Review, , vol. 33(1), pages 31-59, January.
  • Handle: RePEc:sae:inrsre:v:33:y:2010:i:1:p:31-59
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    Cited by:

    1. Rosa Bernardini Papalia & Silvia Bertarelli, 2013. "Nonlinearities in economic growth and club convergence," Empirical Economics, Springer, vol. 44(3), pages 1171-1202, June.
    2. Rosa Bernardini Papalia & Silvia Bertarelli & Carlo Filippucci, 2011. "Human capital, technological spillovers and development across OECD countries," Working Papers 15, AlmaLaurea Inter-University Consortium.
    3. Bengoa, Marta & Román, Valeriano Martínez-San & Pérez, Patricio, 2017. "Do R&D activities matter for productivity? A regional spatial approach assessing the role of human and social capital," Economic Modelling, Elsevier, vol. 60(C), pages 448-461.
    4. Rosa Bernadini Papalia & Silvia Bertarelli, 2013. "Identification and Estimation of Club Convergence Models with Spatial Dependence," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 37(6), pages 2094-2115, November.
    5. Francisco Javier ESCRIBA & María José MURGUI, 2014. "Time Varying Agglomeration Effects on Total Factor Productivity in Spanish Regions (1995-2008)," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 14(2).

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