Misallocation and Manufacturing TFP in Korea
| Autor: | Jiyoon Oh |
|---|---|
| Jazyk: | angličtina |
| Rok vydání: | 2016 |
| Předmět: |
O53
Macroeconomics O11 050204 development studies 05 social sciences lcsh:Economic theory. Demography Misallocation O47 lcsh:HD28-9999 lcsh:Social Sciences lcsh:H lcsh:HB1-3840 lcsh:Industries. Land use. Labor Misallocation by Establishment Size 0502 economics and business ddc:330 Economics 050207 economics Total factor productivity Productivity Differences |
| Zdroj: | KDI Journal of Economic Policy, Vol 38, Iss 3, Pp 37-52 (2016) |
| ISSN: | 2586-4130 2586-2995 |
| Popis: | This paper analyzes the effects of allocative efficiency on productivity in the manufacturing sector of Korea following Hsieh and Klenow (2009). The results of this research indicate that the overall allocative efficiency declined from 1990 to 2012. Using the method of Oberfield (2013), which allows inter-industry resource movement as well as intra-industry reallocation, we confirm that intensified misallocation generally results from intra-industry allocative inefficiency. The potential loss from instances of worsening misallocation is estimated to be approximately 0.6% points for each year, which is considerable in terms of the overall TFP. In terms of the firm size distribution, initially large establishments are more likely to expand if distortions are removed in most countries. One notable feature in Korea is that this pattern is pronounced. This implies that subsidies to unproductive small-sized establishments are heavily implemented. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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