Upstream Product Market Regulations, ICT, R & D and Productivity

Our study investigates the importance of two main channels through which upstream anti-competitive sector regulations impact productivity growth: investments in R & D and in ICT, as opposed to alternative channels we cannot explicitly consider for lack of appropriate data such as improvements in...

Full description

Saved in:
Bibliographic Details
Published in:The Review of income and wealth 2017-02, Vol.63 (s1), p.S68
Main Authors: Cette, Gilbert, Lopez, Jimmy, Mairesse, Jacques
Format: Article
Language:English
Subjects:
International economic organizations
Management
Production
Productivity
Skills
Studies
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Our study investigates the importance of two main channels through which upstream anti-competitive sector regulations impact productivity growth: investments in R & D and in ICT, as opposed to alternative channels we cannot explicitly consider for lack of appropriate data such as improvements in skills, management and organization. We specify a three equations model: an extended production function relating total factor productivity to both R & D and ICT capital, and to upstream regulations, and two factor demand functions relating R & D and ICT capital to upstream regulations. We estimate these relations on an unbalanced panel of 15 OECD countries and 13 industries over the period 1987-2007. We find that the total impact of upstream regulations on total factor productivity is sizeable, a large part of which is transmitted through investments in R & D and ICT, mainly the former.
ISSN:0034-6586
1475-4991
DOI:10.1111/roiw.12252