Investigation of Determinants of Total Factor Productivity

2014 ◽  
Vol 5 (1) ◽  
pp. 26-42 ◽  
Author(s):  
Sergey Samoilenko ◽  
Kweku-Muata Osei-Bryson
Keyword(s):  
Information And Communication Technologies ◽  
Total Factor Productivity ◽  
Time Series Data ◽  
Transition Period ◽  
Series Data ◽  
Full Time ◽  
Factor Productivity ◽  
Significant Difference ◽  
Macroeconomic Impact ◽  
The Impact

The limited resources of Transition Economies (TE) accentuate the need for formulating effective and efficient policies for investments in Information and Communication Technologies (ICT). However, the empirical evidence required for sound decision making is scarce, thus prompting a call for additional studies in the area of macroeconomic impact of investments in ICT. Using two time series data sets, one for the period from 1993 to 2002, and another for the period from 2003 to 2008, we investigate the impact of investments in telecoms on Total Factor Productivity (TFP) in the context of the TEs of Central Europe. Results suggest that while all TEs exhibited overall growth in productivity, the annual growth of the majority was inconsistent and not determined by the increase in the levels of investments in telecoms and full-time telecom labor. Further, a comparison of the two periods suggests that the most significant difference between those periods is that the dominant source of growth in productivity in the later transition period (2003-2008) is efficient utilization of the already available technology, while in the former transition period it was technological changes.

scholarly journals Does higher education affect total factor productivity in Nepal? An exploration through the lens of ARDL bounds test

2015 ◽  
pp. 76-102
Author(s):  
Madhav Prasad Dahal
Keyword(s):  
Higher Education ◽  
Total Factor Productivity ◽  
Time Series Data ◽  
Series Data ◽  
Aggregate Level ◽  
Factor Productivity ◽  
Direct Benefits ◽  
Positive Externality ◽  
Growth Equations ◽  
The Individual

Education-centered human capital is one of the variables extensively used to model growth equations with the resurgence of growth theories in the 1980s primarily with the publication of Romer’s 1986 and Lucas’ 1988 seminal papers. Education contributes growth through its direct benefits to the individual and positive externality to the society. Theory claims that education enhances economic growth by working as an input of production and by being an agent of technological innovation, dissemination, and imitation. Previous empirical evidence on the effect of education on growth is mixed. This paper empirically examines the effect of higher education on total factor productivity in the aggregate level of the economy of Nepal employing time series data of the period 1975-2011 applying the ARDL method of cointegration. The findings are not encouraging on the issue.DOI: http://dx.doi.org/10.3126/ejdi.v15i1-2.11869Economic Journal of Development Issues Vol. 15 & 16 No. 1-2, pp. 76-102

scholarly journals Total Factor Productivity Growth in Indian Agriculture

2010 ◽  
Vol 6 (4) ◽  
pp. 286-298 ◽  
Author(s):  
Amarnath Tripathi
Keyword(s):  
Total Factor Productivity ◽  
Economies Of Scale ◽  
Time Series Data ◽  
Market Access ◽  
Output Growth ◽  
Series Data ◽  
Factor Productivity ◽  
Indian Agriculture ◽  
The People ◽  
Future Growth

n this study, time series data has been related to broad agricultural outputs which included farming, livestock, forestry, and fisheries and 3 conventional inputs: labour, land, and capital, to construct an index of total factor productivity (TFP) between 1969-70 to 2005-06. A TFP index is simply the ratio of an output index to an input index. Therefore, growth in TFP is the residual share of output growth after accounting for changes in land, labor, and other conventional agricultural inputs. Changes in TFP can be interpreted as a measure of the collective contribution of non-conventional inputs in agriculture, such as improvements in input quality, market access, economies of scale, and technology. What emerges from this exercise is a picture that raises concern about future growth in Indian agriculture, and the welfare of the people who depend on agriculture for their livelihood. Agricultural productivity in India appeared to stagnate in the late 1990s after enjoying two decades of rapid growth.

scholarly journals Macroeconomic determinants of total factor productivity and its trend in Ethiopia

2019 ◽  
Vol 8 (6) ◽  
pp. 219-228
Author(s):  
Adisu Abebaw Degu ◽  
Dagim Tadesse Bekele
Keyword(s):  
Foreign Direct Investment ◽  
Total Factor Productivity ◽  
Direct Investment ◽  
Time Series Data ◽  
Trade Openness ◽  
Government Expenditure ◽  
Series Data ◽  
Factor Productivity ◽  
Macroeconomic Factors ◽  
Long Run

Total factor productivity (TFP) as a source of economic growth, has been recognized in economic theory for a long period of time. In this research we tried to examine the effect of some macroeconomic factors, which include trade openness, inflation, government expenditure, credit extended and foreign direct investment, and natural disaster drought on total factor productivity and its trend in Ethiopia by using Time series data spanning from 1991 to 2018.  The TFP was computed by using the growth accounting method from Cobb–Douglas production function.  ARDL was used for estimation of the short and long run econometric model.  Accordingly, the trend analysis shows the growth in TFP has been fluctuating over the study period. The result from ARDL indicated that; in long run foreign direct investment, government expenditure and drought negatively and significantly affect TFP. Credit extended is found to affect TFP positively and significantly, while inflation and trade openness are insignificant. Therefore, policies such as; subsidizing domestic firms, effective government spending and making the agriculture sector drought resistant need to be stimulated.

scholarly journals Empirical Cost of Electricity Outage on Labour and Capital Productivity in Nigeria

2022 ◽  
Vol 3 (1) ◽  
Author(s):  
Osinachi Iroh ◽  
Ijeoma Kalu ◽  
Alwell Nteegah
Keyword(s):  
Total Factor Productivity ◽  
Electricity Generation ◽  
Labour Productivity ◽  
Negative Relationship ◽  
Series Data ◽  
Electricity Pricing ◽  
Factor Productivity ◽  
Power Outages ◽  
Power Outage ◽  
The Impact

This study empirically examined the impact of electricity power outages on Nigeria’s capital and labour productivity.  The emphasis is on how frequent electricity outage reduces labour and capital effectiveness and other factors of production.  To achieve the above objective, annual time series data on Total Factor Productivity - a proxy for Nigeria’s factors productivity, Power Outage (electric power transmission and distribution losses as % of output), and other controlled variables were used to estimate the relationship and all data were from World Bank Development Indicators (WDI). The Fully Modified Ordinary Least Square (FOLS) technique was adopted for analysis.  The empirical results showed a negative relationship between power outages and factor productivity.  The result also reveals that electricity pricing has a significant negative impact on the factor productivity while both electricity generation and population have a significant positive impact on Nigeria’s total factor productivity.  The implication is that the substitution effect between labour and capital is positive, meaning that Nigeria exhibits a labour-intensive production function. In conclusion, the study is of the opinion that power outage and electricity pricing negatively impact factors productivity while electricity generation and population have a positive relationship with factors productivity in Nigeria.

Do Investments in ICT Help Economies Grow?

2019 ◽  
pp. 40-63
Author(s):  
Sergey Samoilenko
Keyword(s):  
Information And Communication Technologies ◽  
Time Series Data ◽  
Communication Technologies ◽  
Series Data ◽  
Data Sets ◽  
Dominant Source ◽  
Information And Communication ◽  
Available Technology ◽  
Changes Over Time ◽  
The Impact

A common assumption behind investments in information and communication technologies (ICT) is that of the resultant improvements in productivity. To substantiate this assumption with empirical evidence in the context of transition economies (TE), the authors use time series data sets spanning the period from 1993 to 2008 to inquire into the impact of investments in telecoms on total factor productivity (TFP). Results indicate that the improvements in productivity of the most of TEs in the sample was inconsistent and not based on the increase in the levels of investments and labor. Additionally, the results of the data analysis suggest that the dominant source of growth in productivity is not static, but changes over time. While in an earlier period (1993-2002) of transition, TEs grew based on technological change, it is efficient utilization of the already available technology that became a dominant source of growth in the later (2003-2008) period of transition.

Total Factor Productivity in Manufacturing Industry for Delhi for Last Thirty Years

2014 ◽  
Vol 1 (1) ◽  
pp. 18-36
Author(s):  
Anindya Bhattacharya
Keyword(s):  
Total Factor Productivity ◽  
Manufacturing Industry ◽  
Time Series Data ◽  
Manufacturing Sector ◽  
National Level ◽  
Recent Time ◽  
Manufacturing Industries ◽  
Series Data ◽  
Factor Productivity ◽  
Level Data

This paper attempts to give an overview of the Total Factor Productivity Growth (TFPG) for the NCR or Delhi for the period from 1981-82 to 2011-12 for the manufacturing sector. Using the ASI time series data and Growth Accounting Approach the TFPG Index values are computed. The study reveals that for most of the major group or 2-digit level of manufacturing industries the respective TFPG values are declining over time. The results indicate that the lacklustre performance of the manufacturing sector equally holds in Delhi as it is already verified for the national level data of the sector through many other studies in recent time.

scholarly journals The Effects of Privatization and Ownership in Transition Economies

2009 ◽  
Vol 47 (3) ◽  
pp. 699-728 ◽  
Author(s):  
Saul Estrin ◽  
Jan Hanousek ◽  
Evžen Kočenda ◽  
Jan Svejnar
Keyword(s):  
Total Factor Productivity ◽  
Central Europe ◽  
Transition Economies ◽  
Transition Period ◽  
Focus Attention ◽  
Factor Productivity ◽  
Insignificant Effect ◽  
Independent States ◽  
Econometric Methodology ◽  
The Impact

In this paper, we evaluate what we have learned to date about the effects of privatization from the experiences during the last fifteen to twenty years in the postcommunist (transition) economies and, where relevant, China. We distinguish separately the impact of privatization on efficiency, profitability, revenues, and other indicators and distinguish between studies on the basis of their econometric methodology in order to focus attention on more credible results. The effect of privatization is mostly positive in Central Europe, but quantitatively smaller than that to foreign owners and greater in the later than earlier transition period. In the Commonwealth of Independent States, privatization to foreign owners yields a positive or insignificant effect while privatization to domestic owners generates a negative or insignificant effect. The available papers on China find diverse results, with the effect of nonstate ownership on total factor productivity being mostly positive but sometimes insignificant or negative.

scholarly journals EFISIENSI, PRODUKTIVITAS DAN INDEKS KETIDAKSTABILAN PERIKANAN TUNA LONGLINE DAN PANCING TONDA (Efficieny, Productivity and Instability Index of Tuna Longline and Troll Line)

2016 ◽  
Vol 7 (1) ◽  
pp. 1
Author(s):  
Budi Wardono
Keyword(s):  
Time Series ◽  
Total Factor Productivity ◽  
Time Series Data ◽  
Malmquist Index ◽  
Series Data ◽  
Productivity Change ◽  
Instability Index ◽  
Factor Productivity ◽  
Important Indicator ◽  
Tuna Longline

<p>ABSTRACT<br /><br />Tuna longline and troll line are two dominant tuna fishing fleets in Palabuhanratu port. Tuna longline and troll line yielded around 7.06 thousand tons or 89.12 % of total fish production. The main problem of tuna industry was thing related to resource and capturing capacity. This study aimed to understand the capacity, efficiency, and total factor productivity of fisheries business of tuna in PPN Palabuhanratu, using Data Envelope Analysis (DEA) approach. The study was done in harbour area of Palabuhanratu, from January to March 2014. The time series data from 2010 to 2013 were obtained, covering the production of tuna longline and marine hook boats, input usage (boat, fuel, feed, fishermen, ice box, trip number, oil, water, capturing device). Under variable return to scale assumption, the result showed that business capacity of tuna in Palabuhanratu has been efficient. According to Malmquist approach, we found an important indicator of business productivity, ie. Index of total factor productivity change. Malmquist index of troll line was 0.851, while the Malmquist index of tuna longline was 1.139. Both indices showed the magnitude of productive change of the fleets. The annual change of total factor productivity could be described by the change of TFPCH from 2010 to 2013, the respective value of each year were 0.480; 1.945 and 1.023. Those showed the magnitude of productive change of fisheries business of tuna in PPN in Palabuhanratu.<br /><br />Keywords: DEA, efficiency, Malmquist index, productivity, troll line, tuna longline, VRS</p><p>-------<br /><br />ABSTRAK<br />Armada perikanan tuna longline dan pancing tonda merupakan armada yang dominan menangkap ikan tuna di Pelabuhan Perikanan Nusantara (PPN) Palabuhanratu.Total produksi dari keduanya sebanyak 7.066,64 ton (89,12%) dari total produksi ikan di Palabuhanratu. Permasalahan utama industri tuna adalah terkait sumber daya dan kapasitas penangkapan tuna. Tujuan penelitian ini untuk mengetahui tingkat efisiensi, perubahan total faktor produktivitas dan indeks ketidakstabilan usaha perikanan tuna dengan menggunakan tuna longline dan pancing tonda di Palabuhanratu dengan pendekatan Data Envelopment Analysis (DEA) dan Indeks Ketidakstabilan (Coppoct Instability Index). Penelitian dilakukan dikawasan PPN Palabuhanratu, Kabupaten Sukabumi, pada bulan Januari – Maret 2014. Data yang digunakan adalah data time series yang dikeluarkan oleh PPN Palabuhanratu dari tahun 2010-2013. Data yang digunakan dalam analisis ini meliputi produksi dari armada tuna long line dan pancing tonda. Adapun input yang digunakan adalah kapal (longline dan pancing tonda), BBM, umpan, nelayan, es, trip, oli, air, alat tangkap. Hasil analisis dengan asumsi variable return to scale (VRS), kapasitas usaha perikanan tuna di Palabuhanratu, pada armada tuna longline dan pancing tonda sudah efisien. Artinya bahwa sumber daya sudah dialokasikan secara efisien, penggunaan input dalam upaya penangkapan tuna sudah efisien. Hasil analisis menggunakan pendekatan indeks Malmquist diperoleh indeks total factor productivity change yang menunjukkan indikator penting produktifitas usaha. Nilai indeks Malmquist untuk amada pancing tonda sebesar 0,851 dan tuna longline sebesar 1,139, menunjukkan besarnya perbandingan perubahan produktivitas antara kedua armada tersebut. Perubahan total faktor produktivitas antar tahun digambarkan dari besarnya perubahan TFPCH dari tahun 2010 sampai dengan 2013 masing-masing besarnya 0,480; 1,945 dan 1,023, yang menunjukan perubahan besarnya produktivitas usaha perikanan tuna di PPN Palabuhanratu tahun 2010 sampai 2013.<br /><br />Kata kunci: DEA, efisiensi, Malmquist index, produktifitas, pancing tonda, tuna longline, VRS</p>

scholarly journals Examining the Impact of Information and Communication Technologies on Female Economic Participation in Pakistan

2020 ◽  
Vol V (III) ◽  
pp. 118-130
Author(s):  
Sabahat Akram ◽  
Hajra Faraqat ◽  
Saadia Bano Hashmi
Keyword(s):  
Information And Communication Technologies ◽  
Time Series Data ◽  
Research Work ◽  
Communication Technologies ◽  
Developed Countries ◽  
Series Data ◽  
Economic Activities ◽  
Economic Participation ◽  
Information And Communication ◽  
The Impact

This study is an attempt to investigate the impact of information and communication technologies (ICTs) development on the participation of women in economic activities in Pakistan. Data for the period 1991-2017 was used for this research work and regressed on female economic involvement and ICTs development and another set of control variables like GDP, FDI and trade liberalization. Data sources are the WDI, IFS, and ESP. Johansen cointegration test, VECM and Granger causality tests were used to estimate data. Estimation techniques were applied after checking the properties of time series data. Results indicate the positive and significant relationship of dependent variable female economic participation and independent variables ICTs development and macro-economic variables in the long run. The study findings indicate that female economic participation has increased with the increase in ICTs in Pakistan. However, the rate of women's economic participation was not found as increasing as in other developed countries, and it is not as rapid as technology developed in the last decade.

Impact of exchange rate and oil price on the yield of sovereign bond and sukuk: Evidence from Malaysian capital market

2017 ◽  
Vol 5 (4) ◽  
pp. 27
Author(s):  
Huda Arshad ◽  
Ruhaini Muda ◽  
Ismah Osman
Keyword(s):  
Exchange Rate ◽  
Capital Market ◽  
Time Series Data ◽  
Oil Prices ◽  
Oil Price ◽  
Series Data ◽  
Sovereign Bond ◽  
Long Run ◽  
Short Run ◽  
The Impact

This study analyses the impact of exchange rate and oil prices on the yield of sovereign bond and sukuk for Malaysian capital market. This study aims to ascertain the effect of weakening Malaysian Ringgit and declining of crude oil price on the fixed income investors in the emerging capital market. This study utilises daily time series data of Malaysian exchange rate, oil price and the yield of Malaysian sovereign bond and sukuk from year 2006 until 2015. The findings show that the weakening of exchange rate and oil prices contribute different impacts in the short and long run. In the short run, the exchange rate and oil prices does not have a direct relation with the yield of sovereign bond and sukuk. However, in the long run, the result reveals that there is a significant relationship between exchange rate and oil prices on the yield of sovereign bond and sukuk. It is evident that only a unidirectional causality relation is present between exchange rate and oil price towards selected yield of Malaysian sovereign bond and sukuk. This study provides numerical and empirical insights on issues relating to capital market that supports public authorities and private institutions on their decision and policymaking process.

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