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Almost two thirds of the cross-plant dispersion in marginal revenue products of capital occurs across plants within the same firm rather than between firms. Even though firms allocate investment very differently across their plants, they do not equalize marginal revenue products across their...
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Firm heterogeneity and the allocation of resources across firms play a key role in determining aggregate productivity …. Entry barriers and misallocation can substantially impact productivity, as evidenced in recent work. This article provides a …
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This article first reviews the well-known nonparametric methods of decomposing productivity growth and finally argue … that Färe et al. (1994)’s method of computing productivity growth is superior in spite of the fact that this model model is … sample of 60 steel units in India over the period 1989-1996 to decompose the productivity growth into its various components …
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