This paper investigates cross-country productivity convergence at a sectoral level using multivariate unit-root tests … data. Third, when the null hypothesis of non convergence is rejected, a second test determines the number of converging … countries. Based on a sample of thirteen OECD countries our results show evidence of convergence in three out of six sectors …

convergence rates. Consistent with theories, the persistence of productivity differentials is found to be positively correlated …, productivity convergence appears to be enhanced by human capital but deterred by government spending. …