scholarly journals Productivity growth and sectoral interactions under Domar aggregation: a study for the Brazilian economy from 2000 to 2014

2021 ◽  
Vol 10 (1) ◽  
Author(s):  
Theo Santini ◽  
Ricardo Azevedo Araujo
Keyword(s):  
Productivity Growth ◽  
Manufacturing Sector ◽  
Poor Performance ◽  
High Density ◽  
Aggregate Productivity ◽  
Intermediate Inputs ◽  
The Poor ◽  
Negative Role ◽  
Overall Performance ◽  
Productivity Gains

AbstractIn this paper, we use the Domar aggregation approach to study the evolution of Brazil’s productivity growth from 2000 to 2014, thus allowing us a disaggregated assessment of the issue. We found that the Brazilian economy’s overall performance is the outcome of a decrease in the economy’s density, as defined by the existing backward and forward connections amongst industries in intermediate inputs chains. It also can be explained by the poor performance of its sectors. Despite the relatively high density of the manufacturing sector, it performed a negative role concerning aggregate productivity growth both directly and indirectly. Directly insofar as that sector had negatives productivity growths during the period under consideration, and indirectly due to its high interconnection, which spread negative rather than positive productivity gains across the economy. Therefore, to improve the Brazilian economy’s poor performance, it is mandatory to restore the manufacturing sector’s capability to yield and spread productivity gains.

scholarly journals Productivity Growth and Sectoral Interactions under Domar Aggregation: A Study for the Brazilian Economy from 2000 to 2014

2020 ◽  
Author(s):  
Theo Santini ◽  
Ricardo Araujo
Keyword(s):  
Productivity Growth ◽  
Manufacturing Sector ◽  
Poor Performance ◽  
High Density ◽  
Aggregate Productivity ◽  
Intermediate Inputs ◽  
The Poor ◽  
Negative Role ◽  
Overall Performance ◽  
Productivity Gains

Abstract In this paper, we use the Domar aggregation approach to study the evolution of productivity growth in Brazil from 2000 to 2014, thus allowing us a disaggregated assessment of the issue. We found that the overall performance of the Brazilian economy can be explained not only by the poor performance of its sectors but also in terms of diminishing industrial density, with fewer backward and forward connections amongst industries in terms of chains of intermediate inputs. Besides, despite the relatively high density of the manufacturing sector, it performed a negative role concerning aggregate productivity growth both directly and indirectly. Directly insofar as that sector had negatives productivity growths during the period under consideration, and indirectly due to its high interconnection, which spread negative rather than positive productivity gains across the economy. Therefore, to improve the poor performance of the Brazilian economy, it is mandatory to restore the capability of the manufacturing sector of yielding and spreading productivity gains.

scholarly journals Structural transformation and productivity in Latin America

2015 ◽  
Vol 15 (2) ◽  
Author(s):  
Pedro Cavalcanti Ferreira ◽  
Leonardo Fonseca da Silva
Keyword(s):  
Latin America ◽  
Structural Transformation ◽  
Productivity Growth ◽  
Equilibrium Model ◽  
Poor Performance ◽  
Services Sector ◽  
The Poor ◽  
Agriculture Industry ◽  
Key Factor ◽  
Modern Services

AbstractThis article examines the effects of sectorial shifts and structural transformation on the recent productivity path of Latin America. We use a four-sector (agriculture, industry, modern services and traditional services) general equilibrium model calibrated to the main economies in the region. The model very closely replicates labor reallocations across sectors and the growth of aggregate labor productivity from 1950 to 2005. Structural transformation explains a sizeable portion of the region’s convergence in the first decades. In most cases, the poor performance of the traditional services sector is the main cause of the slowdown in productivity growth observed in the region after the mid-1970s and is a key factor in explaining the divergence during this period.

scholarly journals Formalization and productivity: firm-level evidence from Viet Nam

2020 ◽  
Author(s):  
Jann Lay ◽  
Tevin Tafese
Keyword(s):  
Productivity Growth ◽  
Manufacturing Sector ◽  
Viet Nam ◽  
Aggregate Productivity ◽  
Entry And Exit ◽  
Formal Sector ◽  
Policy Changes ◽  
Firm Level ◽  
Productivity Dynamics ◽  
Firm Entry And Exit

Using a firm-level panel dataset on private small- and medium-sized enterprises (SMEs) in Viet Nam’s manufacturing sector, this paper examines productivity dynamics of formal and informal firms. We decompose productivity changes into changes within and between formal and informal firms. We assess the contributions of firm entry and exit as well as informal–formal transitions. Our results show that productivity is considerably lower and misallocation more prevalent in the informal than in the formal sector. Yet, formalizing firms in Viet Nam make an important contribution to aggregate productivity growth among manufacturing SMEs, growing faster than other firms and increasing efficiency. We identify two ‘regimes’ of formalization. Until early 2010, more productive (previously) informal firms formalize. Policy changes and accelerated formalization then alter the characteristics of formalizers, as less productive firms become formal. While this formalization wave depresses average formal total factor productivity growth, the overall productivity effect is positive.

scholarly journals Productivity Dynamics and Rural Industrialization in India

2019 ◽  
Vol 32 (1) ◽  
pp. 23-46
Author(s):  
Takahiro Sato ◽  
Aradhna Aggarwal
Keyword(s):  
Panel Data ◽  
Total Factor Productivity ◽  
Productivity Growth ◽  
Rural Areas ◽  
Manufacturing Sector ◽  
Aggregate Productivity ◽  
Factor Productivity ◽  
Rural Industrialization ◽  
Plant Level ◽  
Productivity Dynamics

Since the late 1990s, industrialization in India has been driven by the rural organized manufacturing sector. This paper examines the effects of firms’ dynamics on rural industrialization in India, using plant-level panel data, to investigate the characteristics of rural industrialization in India in recent years. In particular, the paper focuses on productivity differences among continuing, entering, and exiting firms. The results show that both labour and total factor productivity of the organized manufacturing sector in rural areas increased during 2000–2006 and the aggregate productivity growth is supported by the productivity growth of the continuing firms, the entry of productive firms, and the exit of less-productive firms. The paper can conclude that firms’ productivity dynamics contributed to the current rural industrialization in India. JEL: O14, O47, O53

Manufacturing, Services, and the Productivity Gap

2018 ◽  
Author(s):  
Jorge Arbache
Keyword(s):  
Service Sector ◽  
Manufacturing Sector ◽  
Emerging Market ◽  
Aggregate Productivity ◽  
Services Sector ◽  
The Poor ◽  
Key Factor ◽  
Manufacturing Competitiveness ◽  
Long Term Performance ◽  
Term Performance

This chapter examines a little explored and yet important aspect of the poor productivity in Brazil: the performance of the service sector. It shows evidence that the meager long-term performance of the services sector is a key factor in explaining the poor aggregate productivity and manufacturing competitiveness in Brazil. The reasons for that are twofold. First, Brazil is experiencing a profound structural transformation in favor of the services sector, mainly at the expense of the manufacturing sector, to the point that the shares of services in output and in employment have become unusually high by emerging market standards. Second, manufacturing firms in Brazil are increasingly outsourcing all types of services to the point where the share of services in total costs have become comparable to that of advanced economies.

Total Factor Productivity Growth Based on Resource and Non Resource Based Industries of the Manufacturing Sector, 2000-2005

2013 ◽  
Vol 64 (1) ◽  
Author(s):  
Noorasiah Sulaiman ◽  
Norfadila Fadzil
Keyword(s):  
Total Factor Productivity ◽  
Productivity Growth ◽  
Manufacturing Sector ◽  
Total Factor Productivity Growth ◽  
Factor Productivity ◽  
Input Output ◽  
Intermediate Inputs ◽  
Industrial Manufacturing ◽  
Tfp Growth

This paper examines total factor productivity (TFP) growth in resource and non resource based industries of the Malaysian manufacturing sector. The growth in TFP is examined between 2000 and 2005. Unlike previous studies that use one source of data from Industrial Manufacturing Survey (IMS), this research combines two sources of data–Malaysian Input-Output Tables and IMS. The motivation for this study was brought about due to the need to present a different method for estimating TFP growth using the input-output methodology. The result from this study for resource and non resource based industries reveals that the TFP growth is relatively low for both industries. In addition, the major source of change in TFP of the both industries is contributed by intermediate inputs, while the contribution of labour and capital is substantially low. 

IS RESOURCE MISALLOCATION LEADING TO PRODUCTIVITY GAPS IN MALAYSIA’S MANUFACTURING SECTOR?

2020 ◽  
Vol 65 (05) ◽  
pp. 1213-1235
Author(s):  
LAY LIAN CHUAH ◽  
NORMAN V. LOAYZA ◽  
HA NGUYEN
Keyword(s):  
Total Factor Productivity ◽  
Manufacturing Sector ◽  
Aggregate Productivity ◽  
Factor Productivity ◽  
Gross Domestic Product Growth ◽  
Large Aggregate ◽  
High Productivity ◽  
Resource Misallocation ◽  
Productivity Gains ◽  
Reallocation Of Resources

The reallocation of resources from low- to high-productivity firms can generate large aggregate productivity gains. The paper uses data from the Malaysian manufacturing censuses of 2005 and 2010 to measure the country’s hypothetical productivity gains if all misallocation within industries are removed. Comparing the results across the two census waves, we conclude that efficiency gaps (that is, the degree of misallocation) in Malaysia have narrowed by one-fifth. The efficiency gaps, however, appear to be over 40%, indicating a substantial room for improvement. This is important, particularly if total factor productivity growth is expected to support future economic growth. The analysis in this paper accounts only for resource misallocation within sectors. There may be other, possibly large, resource misallocation across sectors. Closing those gaps could boost total factor productivity and gross domestic product growth even further.

The Roma in Post-Communist Bulgaria: Growing Social Marginalization and State Policies

2020 ◽  
Vol 2 (1) ◽  
pp. 1-24
Author(s):  
Yorgos Christidis
Keyword(s):  
Political Parties ◽  
Social Exclusion ◽  
Hate Crime ◽  
Hate Speech ◽  
Poor Performance ◽  
State Policies ◽  
Social Marginalization ◽  
Popular Support ◽  
Economic Problems ◽  
The Poor

This article analyzes the growing impoverishment and marginalization of the Roma in Bulgarian society and the evolution of Bulgaria’s post-1989 policies towards the Roma. It examines the results of the policies so far and the reasons behind the “poor performance” of the policies implemented. It is believed that Post-communist Bulgaria has successfully re-integrated the ethnic Turkish minority given both the assimilation campaign carried out against it in the 1980s and the tragic events that took place in ex-Yugoslavia in the 1990s. This Bulgaria’s successful “ethnic model”, however, has failed to include the Roma. The “Roma issue” has emerged as one of the most serious and intractable ones facing Bulgaria since 1990. A growing part of its population has been living in circumstances of poverty and marginalization that seem only to deteriorate as years go by. State policies that have been introduced since 1999 have failed at large to produce tangible results and to reverse the socio-economic marginalization of the Roma: discrimination, poverty, and social exclusion continue to be the norm. NGOs point out to the fact that many of the measures that have been announced have not been properly implemented, and that legislation existing to tackle discrimination, hate crime, and hate speech is not implemented. Bulgaria’s political parties are averse in dealing with the Roma issue. Policies addressing the socio-economic problems of the Roma, including hate speech and crime, do not enjoy popular support and are seen as politically damaging.

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