Explaining firm-level total factor productivity in Post-transition : Manufacturing vs. Services Sector

• Autorzy: Valerija Botrić , Ljiljana Božić , Tanja Broz
• Języki publikacji: EN

Abstrakty

EN

Post transition economies carry the legacy of previous system, supposed to have collapsed in partly due to inability to sustain innovation and technical progress. In terms of innovation activity, they still lag behind advanced market economies. This brings the issue of total factor productivity (TFP) for these countries/industries/firms in focus of research interest. Relying on the TFP firm- level estimates from the World Bank' Enterprise Survey dataset, we analyse the main contributing factors in following post-transition economies: Georgia, Turkey, Ukraine, Russia, Romania, Bosnia and Herzegovina, FYR Macedonia, Mongolia, Slovenia and Croatia. The potential determinants include variables frequently named in the literature: R&D efforts, human capital, ICT investment, competition (product market regulation) and international trade. The data for the TFP determinants is drawn from Business Environment and Enterprise Performance Survey (BEEPS V), which includes both objective variables and perceptions of firms' management. Since many objective variables are simultaneously determined with our dependent variable, we argue that by relying on perceptions we omit the endogeneity issue. In addition to aggregate firm-level TFP determinants, we also distinguish between the manufacturing and service sector. The aim of the research is to emphasize the structural differences between these two segments of post-transition economies. (original abstract)

Słowa kluczowe

EN

Technological progress; Total Factor Productivity (TFP); Services sector

PL

Postęp technologiczny; Produktywność czynników wytwórczych; Sektor usług

• Czasopismo: Journal of International Studies
• Rocznik: 2017
• Tom: 10
• Numer: nr 3
• Strony: 77--90

Twórcy

autor

Valerija Botrić

• The Institute of Economics, Zagreb, Croatia

autor

Ljiljana Božić

• The Institute of Economics, Zagreb, Croatia

autor

Tanja Broz

• The Institute of Economics, Zagreb, Croatia

Bibliografia

• Acemoglu, D., & Zilibotti, F. (2001). Productivity differences. The Quarterly Journal of Economics, 116(2), 563-606.
• Angelucci, M., Estrin, S., Konings, J. & Zolkiewski, Z. (2002). The Effect of Ownership and Competitive Pressure on Firm Performance in Transition Countries: Micro Evidence from Bulgaria, Romania and Poland. William Davidson Working Paper Number 434.
• Bah, E.M., & Brada, J. (2009). Total Factor Productivity Growth, Structural Change and Convergence in the New Members of the European Union. Comparative Economic Studies, 51(4), 421-446.
• Bartlesman, E., Haltiwanger, J., & Scarpetta, S. (2013). Cross-Country Differences in Productivity: The Role of Allocation and Selection. The American Economic Review, 103(1), 305-334.
• Benavente, J.M. (2006). The Role of Research and Innovation in Promoting Productivity in Chile. Economics of Innovation and New Technology, 154(5), 301-315.
• Byrne, D., & Corrado, C. (2016). ICT Prices and ICT Services: What do they tell us about Productivity and Technology? Economics Program Working Paper Series, EPWP 16 - 05.
• Castellacci, F. (2007). Technological regimes and sectoral differences in productivity growth. Industrial and Corporate Change, 16(6), 1105-1145.
• Crépon, B., Duguet, E., & Mairesse, J. (1998). Research, innovation and productivity: An econometric analysis at the firm level. Economics of Innovation and New Technology, 7(2), 115-158. doi:10.1080/10438599800000031.
• Crespi, G., & Zuniga, P. (2012). Innovation and Productivity: Evidence from Six Latin American Countries. World Development, 40(2), 273-290.
• Cusolito, A.P., Francis, D.C., Karalashvili, N., & Meza, J.R. (2016). Firm Level Productivity Estimates. Development Economics, Enterprise Analysis Unit, the World Bank Group. Retrieved from www.enterprisesurveys.org/.
• de la Fuente, A. (2011). Human capital and productivity. Nordic Economic Policy Review, 21, 103-133.
• Dowrick, S., & Nguyen, D-T. (1989). OECD Comparative Economic Growth 1950-85: Catch-Up and Convergence. American Economic Review, 79(5), 1010-1030.
• Easterly, W., & Levine, R. (2001). What have we learned from a decade of empirical research on growth? It's Not Factor Accumulation: Stylized Facts and Growth Models. World Bank Economic Review, 15(2), 177-219.
• ECB (2017). The slowdown in euro area productivity in a global context. ECB Bulletin, Issue 3/2017. Retrieved from https://www .ecb.europa.eu/pub/pdf/other/ebart201703_01.en.pdf?4673f85cee30bf05ebeae2b9faac3cf8
• European Commission (2017). European Innovation Scoreboard 2017. Retrieved from http://ec.europa.eu/DocsRoom/documents/24829
• Goedhuys, M. (2007). The impact of innovation activities on productivity and firm growth: evidence from Brazil. UNU-MERIT Working Paper Series, 02.
• Griffith, R., Huergo, E., Mairesse, J., & Peters, B. (2006). Innovation and Productivity across Four European Countries. Oxford Review of Economic Policy, 22(4), 483-498.
• Hall, B.H., & Mairesse, J. (2006). Empirical studies of innovation in the knowledge-driven economy. Economics of Innovation and New Technology, 154(4/5), 289-299.
• Hall, R., & Jones, C.I. (1999). Why Do Some Countries Produce So Much More Output per Worker Than Others? The Quarterly Journal of Economics, 114(1), 83-116.
• Harrigan, J. (1999). Estimation of Cross-Country Differences in Aggregate Production Functions. Journal of International Economics, 47(2), 267-93.
• Helpman, E. (2004). The Mystery of Economic Growth. Cambridge: Harvard University Press.
• Hulten, C.R. (2001). Total Factor Productivity. A Short Biography. In Hulten, C. R., Dean, E. R. & Harper, M. J. (Eds.), New Developments in Productivity Analysis (pp. 1-54). Chicago: University of Chicago Press.
• İmrohoroğlu, A., & Tüzel, Ş. (2014). Firm level productivity, risk, and return. Management Science, 60(8), 2073-2090. doi:10.1287/mnsc.2013.1852.
• Issakson, A. (2007). Determinants of total factor productivity: a literature review. UNIDO Staff Working Paper, 02.
• Jung, M., & Lee, K. (2010). Sectoral systems of innovation and productivity catch-up: determinants of the productivity gap between Korean and Japanese firms. Industrial and Corporate Change, 19(4), 1037-1069. doi:10.1093/icc/dtp054.
• Krugman, P. (1994). The Myth of Asia's Miracle. Foreign Affairs, 73(6), 62-78.
• Levinsohn, J., & Petrin, A. (2003). Estimating Production Functions Using Inputs to Control for Unobservables. Review of Economic Studies, 70(2), 317-341.
• Lynch, L.M., & Black, S. E. (1996). Beyond the Incidence of Training: Evidence from a National Employers Survey. NBER Working Paper, 5231.
• Mohnen, P., & Hall, B.H. (2013). Innovation and productivity: an update. Eurasian Business Review, 3(1), 47-65. doi:10.14208/BF03353817.
• OECD. (2015). The Future of Productivity. Retrieved from http://www.oecd-ilibrary.org/economics/the-future-of-productivity_9789264248533-en.
• Olley, S., & Pakes, A. (1996). The Dynamics of Productivity in the Telecommunications Equipment Industry, Econometrica, 64(6), 1263-1298.
• Pianta, M., & Vaona, A. (2007). Innovation and Productivity in European Industries. Economics of Innovation and New Technology, 16(7), 485-499. doi:10.1080/10438590600914569.
• Raguž, I., Družić, I. & Tica, J. (2012). Impact of the transition on the TFP in Croatia. FEB - Working Paper Series, 12- 05.
• Romer, P.M. (1993). Idea Gaps and Object Gaps in Economic Development. Journal of Monetary Economics, 32(3), 543- 573. doi:10.1016/0304-3932(93)90029-F.
• Solow, R.M. (1957). Technical Change and the Aggregate Production Function. Review of Economics and Statistics, 39(3), 312-320.
• Syverson, C. (2011). What Determines Productivity?. Journal of Economic Literature, 49(2), 326-365.
• Van Beveren, I. (2010). Total factor productivity estimation: a practical review. Journal of Economic Surveys, 26(1), 98- 128.
• Wang, Y., & Yao, Y. (2003). Sources of China's economic growth 1952-1999: incorporating human capital accumulation. China Economic Review, 14, 32-52.

Identyfikatory

DOI

10.14254/2071-8330.2017/10-3/6