IDEAS home Printed from https://ideas.repec.org/p/cns/cnscwp/202003.html
   My bibliography  Save this paper

Total Factor Productivity and Relative Prices: the case of Italy

Author

Listed:
  • G. Garau
  • S. Deriu

Abstract

Fontela in his seminal work (1989) set up the distributional rule of productivity gain in the Input–Output context (Total Factor Productivity Surplus, TFPS). Garau (1996) proposed an extension to identify a measure of surplus, called Purchasing Power Transfer (PPT). This measure is given by the productivity gains and the market surplus generated by extra–profits conditions derived from rental position detained by agents. Such a decomposition is very useful from our point of view since it would provide information about the degree of non–competitiveness in different markets. In our paper, we compute and explain Fontela's TFPS comparing it with Garau's PPT for Italy for the year 2009-2014.

Suggested Citation

  • G. Garau & S. Deriu, 2020. "Total Factor Productivity and Relative Prices: the case of Italy," Working Paper CRENoS 202003, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    • Handle: RePEc:cns:cnscwp:202003
    as

    Download full text from publisher

    File URL: https://crenos.unica.it/crenos/node/7300
    Download Restriction: no
    File URL: https://crenos.unica.it/crenos/sites/default/files/wp-20-03.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gabrielle Antille & Emilio Fontela, 2003. "The Terms of Trade and the International Transfers of Productivity Gains," Economic Systems Research, Taylor & Francis Journals, vol. 15(1), pages 3-19, March.
    2. Baumol, William J & Wolff, Edward N, 1984. "On Interindustry Differences in Absolute Productivity," Journal of Political Economy, University of Chicago Press, vol. 92(6), pages 1017-1034, December.
    3. Giorgio Rampa, 2008. "Using Weighted Least Squares to Deflate Input-Output Tables," Economic Systems Research, Taylor & Francis Journals, vol. 20(3), pages 259-276.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Uwe Blien & Friedrich Graef, 2013. "The ADETON method," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 33(2), pages 135-150, October.
    2. Rachel Griffith & Stephen Redding & Helen Simpson, 2004. "Foreign Ownership and Productivity: New Evidence from the Service Sector and the R&D Lab," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 20(3), pages 440-456, Autumn.
    3. Mary Gregory & Giovanni Russo, 2004. "The Employment Impact of Differences in Dmand and Production," DEMPATEM Working Papers wp10, AIAS, Amsterdam Institute for Advanced Labour Studies.
    4. James Foreman-Peck & Tom Nicholls, 2013. "SME takeovers as a contributor to regional productivity gaps," Small Business Economics, Springer, vol. 41(2), pages 359-378, August.
    5. Aroca, Patricio & Garrido, Nicolás, 2017. "Sectoral breakdown of total factor productivity in Chile, 1996-2010," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), August.
    6. Maja Bašiæ & Mile Bošnjak & Ivan Novak, 2023. "Productivity shocks and industry specific effects on export and internationalisation: VAR approach," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 41(1), pages 113-156.
    7. Maciej Grodzicki, 2018. "Prices of Value Added and Competitiveness in Global Value Chains," SPRU Working Paper Series 2018-14, SPRU - Science Policy Research Unit, University of Sussex Business School.
    8. Lavanda, Italo, 2012. "Employees’ Compensation Share in Italy - La quota del reddito da lavoro dipendente in Italia (1965-2000)," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 65(1), pages 55-64.
    9. Adrián Rial & Rafael Fernández, 2023. "Does tertiarisation slow down productivity growth? A Kaldorian–Baumolian analysis across 10 developed economies," Metroeconomica, Wiley Blackwell, vol. 74(1), pages 188-222, February.
    10. Dale W. Jorgenson, 1991. "Productivity and Economic Growth," NBER Chapters, in: Fifty Years of Economic Measurement: The Jubilee of the Conference on Research in Income and Wealth, pages 19-118, National Bureau of Economic Research, Inc.
    11. Cellura, Maurizio & Longo, Sonia & Mistretta, Marina, 2011. "The energy and environmental impacts of Italian households consumptions: An input–output approach," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(8), pages 3897-3908.
    12. repec:clr:wugarc:y:2011:v:37i:2p:269 is not listed on IDEAS
    13. Hagen Krämer, 2011. "Dienstleistungen im Strukturwandel: Entwicklung und Perspektiven für Wachstum und Beschäftigung in Europa," Wirtschaft und Gesellschaft - WuG, Kammer für Arbeiter und Angestellte für Wien, Abteilung Wirtschaftswissenschaft und Statistik, vol. 37(2), pages 269-291.
    14. Nicholas Oulton, 2016. "The Mystery of TFP," International Productivity Monitor, Centre for the Study of Living Standards, vol. 31, pages 68-87, Fall.
    15. Oulton, Nicholas, 2001. "Must the Growth Rate Decline? Baumol's Unbalanced Growth Revisited," Oxford Economic Papers, Oxford University Press, vol. 53(4), pages 605-627, October.
    16. Tulika Bhattacharya & Meenakshi Rajeev & Indrajit Bairagya, 2018. "Are high-linked sectors more productive in India? An analysis under an input–output framework," Indian Economic Review, Springer, vol. 53(1), pages 333-367, December.
    17. Rodrigues, João F.D. & Rueda-Cantuche, José M., 2013. "A two-stage econometric method for the estimation of carbon multipliers with rectangular supply and use tables," Ecological Economics, Elsevier, vol. 95(C), pages 206-212.
    18. G. Garau & P. Lecca & L. Schirru, 2009. "Does deflation method matter for productivity measures?," Working Paper CRENoS 200901, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    19. Ronald Schettkat, 2007. "The Astonishing Regularity Of Service Employment Expansion," Metroeconomica, Wiley Blackwell, vol. 58(3), pages 413-435, July.
    20. Rampa, Giorgio, 2012. "All Because of Euro? On Some Structural Changes in the Italian Foreign Trade, 1960-2000 - Tutta colpa dell’euro? Alcuni mutamenti strutturali del commercio estero italiano, 1960-2000 1960-2000 -," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 65(1), pages 97-107.
    21. Nicholas Oulton & Sylaja Srinivasan, 2005. "Productivity growth in UK industries, 1970-2000: structural change and the role of ICT," Bank of England working papers 259, Bank of England.

    More about this item

    Keywords

    input-output; Total Factor Profuctivity Surplus; Relative Price;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cns:cnscwp:202003. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CRENoS (email available below). General contact details of provider: https://edirc.repec.org/data/crenoit.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.