Peru Labor Market Study. Background Paper on Labor Productivity. Final Report
The evidence at the micro level shows, that in the booming period, the rate of growth of labor productivity of the manufacturing sector is mainly explained by the labor productivity rate of growth of formal medium and large size firms rather than for nonfarm informal microenterprises of the urban sector. On the other hand, the reallocation of employment within the manufacturing formal sector also has played an important role in the labor productivity rate of growth of this sector, in particular from firms which decreased their level of employment. With regard to the informal micro-enterprises (IME) in urban areas accounting for a significant proportion of the workforce, in the booming period 2002-2007 employment of the whole IMEs sector have grown at annual rates higher than the overall economy but the value added grown at a lower rate. As a consequence, the average product of labor (i.e. value added per worker) declined during this period. Consequently, productivity growth in the economy in this period, in contrast with the behavior of the IMEs, is a result of productivity growth in the formal sector (modern establishments with relatively larger size). As it is shown in the paper, this has been the case for the manufacturing sector. JEL Classification-JEL: J21, J23, J24, J42, J46
|Date of creation:||2009|
|Contact details of provider:|| Postal: Av. Universitaria 1801, San Miguel, Lima 32|
Phone: 626-2000 ext. 4950
Web page: http://departamento.pucp.edu.pe/economia/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Steven J. Davis & R. Jason Faberman & John Haltiwanger, 2006.
"The Flow Approach to Labor Markets: New Data Sources and Micro-Macro Links,"
Journal of Economic Perspectives,
American Economic Association, vol. 20(3), pages 3-26, Summer.
- Steven J. Davis & R. Jason Faberman & John Haltiwanger, 2006. "The Flow Approach to Labor Markets: New Data Sources and Micro-Macro Links," NBER Working Papers 12167, National Bureau of Economic Research, Inc.
- Ricardo J. Caballero & Mohamad L. Hammour, 1996. "On the Timing and Efficiency of Creative Destruction," The Quarterly Journal of Economics, Oxford University Press, vol. 111(3), pages 805-852.
- Ricardo J. Caballero & Mohamad L. Hammour, 1994. "On the Timing and Efficiency of Creative Destruction," NBER Working Papers 4768, National Bureau of Economic Research, Inc.
- Eduardo Fernández-Arias & Juan S. Blyde & Indermit S. Gill & Alexander Monge Naranjo & Pablo A. Neumeyer & Carlos G. Fernández Valdovinos & Armando Castelar Pinheiro & J. Rodrigo Fuentes & Hugo A. Hop, 2005. "Sources of Growth in Latin America: What Is Missing?," IDB Publications (Books), Inter-American Development Bank, number 33798 edited by Eduardo Fernández-Arias & Juan S. Blyde & Rodolfo E. Manuelli, February. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:pcp:pucinf:inf200901. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.