Measuring and relating aggregate and subaggregate total factor productivity change without neoclassical assumptions

This article considers the relation between total factor productivity measures for individual production units and those for aggregates such as industries, sectors or economies. This topic has been treated in a number of influential publications, such as Hulten (1978), Gollop (1979) and Jorgenson et...

Full description

Saved in:
Bibliographic Details
Published in:Statistica Neerlandica 2015-02, Vol.69 (1), p.21-48
Main Author: Balk, Bert M.
Format: Article
Language:English
Subjects:
aggregation
Economic statistics
Economic theory
index number theory
producer
Productivity
profit
profitability
Statistical methods
Studies
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:This article considers the relation between total factor productivity measures for individual production units and those for aggregates such as industries, sectors or economies. This topic has been treated in a number of influential publications, such as Hulten (1978), Gollop (1979) and Jorgenson et al. (1987). What distinguishes this article from other publications in this area is that I deliberately avoid the making of all kinds of (neoclassical) structural and behavioural assumptions, such as the existence of production frontiers with certain properties, or optimizing behaviour of the production units. In addition, I also treat dynamic ensembles of production units, characterized by entry and exit. Thus, a greater level of generality is achieved from which the earlier results follow as special cases.
ISSN:0039-0402
1467-9574
DOI:10.1111/stan.12045