Imagen de Portada
Código QR

Misallocation and Manufacturing TFP in China and India.

Resource misallocation can lower aggregate total factor productivity (TFP). We use microdata on manufacturing establishments to quantify the potential extent of misallocation in China and India versus the United States. We measure sizable gaps in marginal products of labor and capital across plants...

Descripción completa

Publicado en:Quarterly Journal of Economics Vol. 124; no. 4; pp. 1403 - 1449
Autores principales: Hsieh, Chang-Tai, Klenow, Peter
Formato: Artículo
Publicado: Oxford University Press / UK November 2009
Materias:
Industrial productivity
Manufacturing industries
Manufactured products
Resource allocation > Mathematical models
Labor productivity
China
India
United States
Acceso en línea:Ver este registro en EBSCOhost
Sumario:Resource misallocation can lower aggregate total factor productivity (TFP). We use microdata on manufacturing establishments to quantify the potential extent of misallocation in China and India versus the United States. We measure sizable gaps in marginal products of labor and capital across plants within narrowly defined industries in China and India compared with the United States. When capital and labor are hypothetically reallocated to equalize marginal products to the extent observed in the United States, we calculate manufacturing TFP gains of 30%-50% in China and 40%-60% in India. Reprinted by permission of the publisher.