Economic Growth and Labour Productivity

1980 ◽  
pp. 130-144
Author(s):  
Evgeny Kapustin
Keyword(s):  
Economic Growth ◽  
Labour Productivity

scholarly journals EFFECTIVENESS OF FDI, TECHNOLOGICAL GAP AND SECTORAL LEVEL PRODUCTIVITY IN THE VISEGRAD GROUP

2020 ◽  
Vol 0 (0) ◽  
pp. 1-26
Author(s):  
Kamil Makieła ◽  
Liwiusz Wojciechowski ◽  
Krzysztof Wach
Keyword(s):  
Economic Growth ◽  
Positive Impact ◽  
Labour Productivity ◽  
Technological Gap ◽  
Labour Productivity Growth ◽  
Sectoral Output ◽  
Effective Use ◽  
The Impact ◽  
Visegrad Group ◽  
Sample Heterogeneity

The objective of this paper is to investigate the impact of foreign direct investment (FDI) on economic growth and productivity in sectors of the Visegrad Group one decade after their accession to the EU. In order to account for sample heterogeneity, as well as productivity differences, we construct a generalized true random-effects model with varying efficiency distribution. We find that FDI has a positive impact on the Visegrad Group’s sectors and that its effectiveness depends upon the technological gap between the host and home economy. There are three sources of this positive impact: (i) sectoral output and labour productivity growth, (ii) more effective use of input factors, and via (iii) higher efficiency component of the total factor productivity (TFP). These sources form a three-way transmission mechanism through which FDI can impact economic growth conditioned upon FDI effectiveness due to the technological gap.

Employment Protection Legislation and Unemployment in Botswana

2018 ◽  
pp. 157-191
Author(s):  
Happy Siphambe ◽  
Mavis Kolobe ◽  
Itumeleng Primrose Oageng
Keyword(s):  
Economic Growth ◽  
Labour Productivity ◽  
International Standards ◽  
Employment Protection ◽  
Employment Creation ◽  
Persistent Problem ◽  
Labour Movement ◽  
Labour Relations ◽  
The Social ◽  
Protection Legislation

Botswana has experienced phenomenon economic growth and structural transformation since independence. Despite the achievement in terms of economic growth, the country has had challenges with unemployment averaging 20% and being quite high for youth. The labour laws have changed over time to conform to international standards. The current changes have, however, not been positive in terms of labour relations with the transition from consultative system to collective bargaining almost forestalled. The labour movement has been quite weak. The labour laws have had mixed impact on employment and the labour market and employment creation. The chapter makes key recommendations on how Botswana's labour environment can be transformed based on international experience. Key recommendations are towards employment creation and improving the social dialogue space, especially for labour as the weaker party. This should go a long way in increasing labour productivity and dealing with the persistent problem of poor work ethic.

scholarly journals DOES ICT CAPITAL AFFECT ECONOMIC GROWTH IN THE EU-15 AND EU-12 COUNTRIES?

2014 ◽  
Vol 16 (2) ◽  
pp. 387-406 ◽  
Author(s):  
Jana Hanclova ◽  
Petr Doucek ◽  
Jakub Fischer ◽  
Kristyna Vltavska
Keyword(s):  
Economic Growth ◽  
Total Factor Productivity ◽  
Least Squares Method ◽  
Labour Productivity ◽  
The European Union ◽  
Factor Productivity ◽  
Average Growth ◽  
Capital Growth ◽  
Capital Services ◽  
The Eu

The paper examines economic growth in old and new member countries of the European Union (EU-15 and EU-12) during the years of 1994–2000 and 2001–2008 mainly due to changes in information and communication technology (ICT) capital development. The first group EU-15 is presented by old EU countries and the second group EU-12 is presented by new member countries that joined the EU in 2004–2007. The threefactor Cobb-Douglas production function is estimated through the panel general least squares method. The input factors that might influence the economic growth are labour, ICT capital services and non-ICT capital services. Since ICT capital growth data are not available for all selected economies, the groups of countries were reduced to EU-14 and EU-7. The estimated panel production functions confirmed that the average growth of GDP in the EU-7 countries was supported by the stable growth of labour quantity and ICT-capital and increasing total factor productivity. A short-term drop in non-ICT capital growth with follow-up stagnation was caused rather by lower labour productivity. The research discovered that the drop in GDP growth in the EU-14 countries was a result of the slower growth of non-ICT capital and total factor productivity and the stagnated growth of ICT capital with low elasticity, and showed that even the compensation of growth in labour quality did not prevent a decrease in total factor productivity and economic growth.

Structural Change and Economic Growth across Major States of India

2018 ◽  
Vol 9 (2) ◽  
pp. 162-182
Author(s):  
Monica Thind ◽  
Lakhwinder Singh
Keyword(s):  
Economic Growth ◽  
Structural Change ◽  
Productivity Growth ◽  
Development Process ◽  
Structural Changes ◽  
Labour Productivity ◽  
High Productivity ◽  
Labour Productivity Growth ◽  
Potential Source ◽  
The Relationship

The structural change in an economy is an important feature of the economic development process. Structural change becomes a potential source of growth in an economy as it induces reallocation of labour from low-productivity to high-productivity sectors, thus leading to fuller and better utilization of overall resources. This article studies the relationship between structural change and growth in 15 major states of India over the 30-year period from 1983–1984 to 2014–2015. The study aims at discovering whether structural changes have contributed to economic growth of these states or otherwise. This is achieved by decomposing the overall labour productivity growth of states into contribution by structural change and within sector change. The results show that in all the states under study structural changes have contributed positively to growth; however, contribution of within sector changes is found to be much more than structural change in all states except Maharashtra.

scholarly journals The Role of Fiscal Policy in Human Development: The Pakistan’s Perspective

2012 ◽  
Vol 51 (4II) ◽  
pp. 381-396
Author(s):  
Syed Ammad Ali ◽  
Hasan Raza ◽  
Muhammad Umair Yousuf
Keyword(s):  
Economic Growth ◽  
Human Development ◽  
Purchasing Power Parity ◽  
Labour Productivity ◽  
Physical Capital ◽  
Sustainable Growth ◽  
Standard Of Living ◽  
Power Parity ◽  
Life Expectancy At Birth ◽  
Per Capita

Human development considered as the engine of the economic growth as it improves the economy’s strength and increases the standard of living of the people, increases the choices and maximises the welfare of the society that is the prime objective of any government. The development of the human capabilities is also necessary for the sustainable growth, as there are many channels through which human development foster the economic growth. It increases the labour productivity, labour demand, employment and output. On the other hand, human capital also attracts physical capital.1 Empirically, it is very difficult to have an exact measure of human development and social welfare. Several proxies used to measure human development, e.g. GNI per capita as a measure of standard of living, Purchasing Power Parity (PPP) criterion to measure the cost of living and to measure the welfare, average year of schooling, school enrolment rate and health expenditures as a percentage of GDP to capture this composite welfare and development indicator. A fair index of Human Development Index (HDI) was developed by United Nations Development Programme in 1990. This index based on the standard of living (natural logarithm of GDP PPP per capita), access to knowledge (adult literacy rate with two-third weighting and the remaining is the gross enrolment ratio) and a healthy life (life expectancy at birth). The value of index varies from 0 to 1, lower the HDI, lesser would be the human development and welfare in the country or vice versa.

scholarly journals The impact of economic growth on unemployment in South Africa: 1994 – 2012

2015 ◽  
Vol 12 (4) ◽  
pp. 699-707
Author(s):  
Handson Banda ◽  
Ireen Choga
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
South African ◽  
Time Series Data ◽  
Positive Impact ◽  
Labour Productivity ◽  
Real Effective Exchange Rate ◽  
Series Data ◽  
Long Run ◽  
The Impact

One of the most pressing problems facing the South African economy is unemployment, which has been erratic over the past few years. This study examined the impact of economic growth on unemployment, using quarterly time series data for South Africa for the period 1994 to 2012.Johansen Co-integration reflected that there is stable and one significant long run relationship between unemployment and the explanatory variables that is economic growth (GDP), budget deficit (BUG), real effective exchange rate (REER) and labour productivity (LP). The study utilized Vector Error Correction Model (VECM) to determine the effects of macroeconomic variables thus REER, LP, GDP and BUG on unemployment in South Africa. The results of VECM indicated that LP has a negative long run impact on unemployment whilst GDP, BUG and REER have positive impact. The study resulted in the following policy recommendation: South African government should re-direct its spending towards activities that directly and indirectly promote creation of employment and decent jobs; a conducive environment and flexible labour market policies or legislations without impediments to employment creation should be created; and lastly government should prioritise industries that promote labour intensive. All this will help in absorbing large pools of the unemployed population thereby reducing unemployment in South Africa.

China may yet revive Western economies

2016 ◽  
Keyword(s):  
Economic Growth ◽  
Capital Accumulation ◽  
Global Financial Crisis ◽  
Labour Productivity ◽  
Commodity Prices ◽  
Content Type ◽  
Goods And Services ◽  
The World ◽  
Growth Prospects ◽  
Stimulus Package

Subject China's economic growth prospects. Significance After the 2008 global financial crisis, China's resilience thanks to Beijing's large and rapid stimulus package was credited with making China the engine of growth for the world economy. Today, China is seen as the opposite, with diverse economic ills across the world routinely blamed on China's slowdown. Impacts Investment in heavy industry will not rebound, but there is still ample scope for investment in construction related to urbanisation. Consumption will make the largest contribution to economic growth. The rate of capital accumulation will remain high for some years, boosting labour productivity further. With wages still rising, inflation in China will pick up once commodity prices stop falling. Inflation in China will feed into inflation in the West, while a more affluent China demands more goods and services.

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