Sectoral Productivity Gaps and Aggregate Productivity

Sinha, Rishabh

World Bank, Washington, DC

关键词: JOBS;    EMPLOYMENT;    EMPLOYMENT RATE;    COUNTRY VARIATION;    MOTIVATION;   

DOI  :  10.1596/1813-9450-7737
RP-ID  :  WPS7737

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

This paper examines the role of changesin sectoral productivity gaps over time in accounting forgrowth realized by countries over the past few decades. Toquantify the productivity impact of the sectoral gaps, asimple model of resource allocation is developed in whichthe gaps arise due to distortions in the form ofasymmetrical taxes across sectors. The paper finds a limitedrole of changes in distortions over time in accounting foractual growth. Implied growth from changes in distortionsaccounts for less than 2.5 percent of actual growth for themedian country. To check if the lower contribution ofchanges in distortions is because of unrealized gainssuggested by high levels of present distortions,productivity gains are estimated when distortions acrosscountries are reduced to the US levels. Barring a couple ofcases, the gains in aggregate productivity are modest acrossthe sample of countries.