The present paper uses techniques from stochastic production frontier and panel data literature to test for the spillover hypothesis that 'presence of foreign firms and disembodied technology import in a sector leads to higher productivity growth for domestic firms'. The study uses panel data...

The present paper uses techniques from stochastic production frontier and panel data literature to test for the spillover hypothesis that 'presence of foreign firms and disembodied technology import in a sector leads to higher productivity growth for domestic firms'. The study uses panel data...

Dualism is a pervasive feature of the manufacturing sectors of less-developed countries, with large differences in productivity between the informal and the formal sectors. Policy distortions are viewed as an important factor behind the prevalence of manufacturing dualism. We examine whether...