Key Features:Comprises a comprehensive volume of 26 papers, ranging from top journal articles to hard-to-get papersShows the interrelationship between economic theory and modeling of national economiesPuts a handle on seemingly slippery issues such as competitiveness and performance.

This paper measures factor productivities (and hence total factor productivity growth) directly on the basis of the fundamentals of the economy (endowments, preferences and technology), without recourse to market prices. The factor productivities are the Lagrange multipliers of a linear program...

The standard measure of productivity growth is the Solow residual. Its evaluation requires data on factor input shares or prices. Since these prices are presumed to match factor productivities, the standard procedure amounts to accepting at face value what is supposed to be measured. In this...