Fachin, Stefano and Gavosto, Andrea (2007): The decline in Italian productivity: a study in estimation of Total Factor Productivity with panel cointegration methods.
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The main aim of this paper is to propose a method for obtaining estimates of Total Factor Productivity (TFP) trends (i) free from the restrictive assumptions needed by traditional growth accounting and (ii) requiring only data on inputs and output flows. The approach proposed relies on recent developments in the analysis of non-stationary dependent panels. The ap- plication to the Italian economy for the period 1981-2004, consistently with those obtained through traditional growth accounting methods, supports the view that the decline in Italian labour productivity has been mostly due to a widespread fall in TFP growth. A simple regression points as main causes of this fall the completion of a factor reallocation process among industries and capital types.
|Item Type:||MPRA Paper|
|Institution:||Faculty of Statistics, University of Rome ”La Sapienza”|
|Original Title:||The decline in Italian productivity: a study in estimation of Total Factor Productivity with panel cointegration methods|
|Keywords:||Total Factor Productivity, Productivity Slowdown, Italy, Panel Cointegration|
|Subjects:||C - Mathematical and Quantitative Methods > C2 - Single Equation Models ; Single Variables > C23 - Panel Data Models ; Spatio-temporal Models
D - Microeconomics > D2 - Production and Organizations > D24 - Production ; Cost ; Capital ; Capital, Total Factor, and Multifactor Productivity ; Capacity
|Depositing User:||Stefano Fachin|
|Date Deposited:||16. Dec 2008 07:16|
|Last Modified:||12. Feb 2013 11:12|
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The decline in Italian productivity: a study in estimation of long-Run trends in Total Factor Productivity with panel cointegration methods. (deposited 08. May 2007)
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