We examine the contribution of incremental and radical innovations to total factor productivity (TFP) growth at the firm level. The first part of our analysis is dedicated to the determinants of innovation and reveals two different innovation regimes. On the one hand, radical innovations rely...

The institutional reforms towards trade liberalizations in Latin America during the 1980s and the 1990s have introduced a good measure of import competition, but trade policies alone are not sufficient to create a competitive environment in an economy. The countries in Latin America have not had...

In 1960's there was a controversy in Czechoslovakia about the causes of economic stagnation and about the economic policy, that would lead to resumption of economic growth. One group of economists that contained primarily planners and other government officials, argued that the only way to...

This paper consists of two parts. In the first part we carry out a traditional growth accounting exercise for the private business sectors of the Swedish economy. We search for structural breaks during the sample period, using Chow tests, using a dynamic specification of Total Factor...

There are large differences in gross domestic products by sectors among Latin American countries, and the majority of these differences are due to the value of industrial and service sectors. The structural reforms in countries of Latin America has broadly focused in the five major areas...

Our aim in this paper is to test the robustness of the relation between total factor productivity growth and inflation to the specification of the model adopted for its identification. In doing so we estimate a generalized Box-Box cost function using data from the two-digit Standard Industrial...

A number of recent studies have illustrated the link between health and growth (Gallup and Sachs 2000, McCarthy et al. 2000, Bhargava et al. 2000). This paper argues that a key mechanism through which health affects growth is via total factor productivity (TFP). We first estimate TFP based on a...

Japanese and U.S. saving rates have been significantly different over the last forty years. Can a standard growth model explain this difference? The answer is yes. Our results indicate that both an infinite horizon, complete markets setup and an overlapping generations model with incomplete...

Multinational firms are traditionally considered as firms possessing some technological lead and exploiting this proprietary advantage in international markets, but a growing literature has been arguing that multinational firms set up foreign subsidiaries not only as a means to exploit their own...

Our study encompasses two main objectives. One, using the 2001 OECD National Account database we compute Total Factor Productivity growth (TFPG) for Finland for the years from 1960 until 1999 using a chained Fisher index. We report that over the 4 decades Finland’s TFPG has grown on a 2.4%...