Estimates for the US suggest that at least in some sectors productivity-enhancing reallocation is the dominant factor in accounting for productivity growth. An open question, particularly relevant for developing countries, is whether reallocation is always productivity enhancing. It may be that...

Estimates for the U.S. suggest that at least in some sectors productivity enhancing reallocation is the dominant factor in accounting for producitivity growth. An open question, particularly relevant for developing countries, is whether reallocation is always productivity enhancing. It may be...

We analyze nonlinear adjustments of capital and labor using plant data from the Colombian Annual Manufacturing Survey, allowing for interdependence in adjustments of the two factors. We find nonlinear employment and capital adjustments. We also find that capital shortages reduce hiring, and...

Se explora teóricamente la organización industrial en un país recipiente de inversión extranjera y los nexos estratégicos entre operaciones subsidiarias de corporaciones multinacionales y la industria local

This paper contributes an estimation framework to measure both technological and linkage externalities from foreign direct investment (FDI). Empirical research dealt mainly with intra-industry spillovers from FDI with restrictive treatment of inter-industry effects until recently. However, as...

We examine various channels through which trade liberalization affects aggregate productivity, exploiting tariff changes across sectors after the Colombian trade reform. An advantage of our analysis is that our TFP measure does not include demand and price effects. We find that higher...