This paper describes an attempt to build a regression-based system of labor productivity equations that incorporate the ….S. economy. Builders of regression-based forecasting models have long had difficulty finding labor productivity equations that … productivity. Theory dictates that this causation is driven by the effect of traditional capital deepening as well as technological …

This paper describes an attempt to build a regression-based system of labor productivity equations that incorporate the ….S. economy. Builders of regression-based forecasting models have long had difficulty finding labor productivity equations that … productivity. Theory dictates that this causation is driven by the effect of traditional capital deepening as well as technological …

monopoly power. In this economy, measures of total factor productivity (TFP) growth in terms of quantities (the primal) and … real factor prices (the dual) can diverge from each other as well as from true technology growth. These distortions … potentially give rise to dynamic reallocation effects that imply that change in technology needs to be measured from the bottom up …

speculative agents overreact to observed technology shocks. When making forecasts about the future, speculative agents behave like … to confirm the stronger technology response. For moderate levels of risk aversion, the forecast errors observed by the … improvements in technology, investment and consumption booms, and faster trend growth, reminiscent of the U.S. economy during the …

-specific technological progress. In a two-sector growth model, however, the relative price of capital equals the ratio of the productivity … productivity growth and test the GHK identification, which is easily rejected by the data. This raises questions about various … mid-1970s. We impose structure on the productivity measures based on their long run behavior and find evidence of a …

and technical assistance in the same period. We interpret this as supportive of the interpretation that technology …