Hsieh, Chang-tai; Klenow, Peter J. - 2007
establishments to quantify the extent of this misallocation in China and India compared to the U.S. in recent years. Compared to the … in China and India. When capital and labor are hypothetically reallocated to equalize marginal products to the extent … observed in the U.S., we calculate manufacturing TFP gains of 25-40% in China and 50-60% in India. …