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On the Production Function for Italy

Author

Listed:
  • Giuseppe Albanese

    (Bank of Italy, Catanzaro)

  • Marco M. Sorge

    (University of Napoli)

Abstract

In this paper, we assess the ability of the Cobb-Douglas framework to match the empirical evidence for Italy. While the growth accounting approach requires the validity of this functional form and of its parameters, we conduct econometric analysis on a panel of regions for the years 2000- 2006 and suggest (i) an alternative specification and (ii) a twofold time series data construction, under which the Cobb-Douglas framework appears to yield the most credible and well-specified formulation of the Italian production function.

Suggested Citation

  • Giuseppe Albanese & Marco M. Sorge, 2010. "On the Production Function for Italy," Rivista Internazionale di Scienze Sociali, Vita e Pensiero, Pubblicazioni dell'Universita' Cattolica del Sacro Cuore, vol. 118(4), pages 401-416.
    • Handle: RePEc:vep:journl:y:2010:v:118:i:4:p:401-416
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    References listed on IDEAS

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    1. Ghosh, Saibal, 2013. "Do economic reforms matter for manufacturing productivity? Evidence from the Indian experience," Economic Modelling, Elsevier, vol. 31(C), pages 723-733.

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    More about this item

    Keywords

    Production function; Total Factor Productivity; Capital stocks.;
    All these keywords.

    JEL classification:

    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • E23 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Production

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