Identifying productivity when it is a factor of production
RAND Journal of Economics, 2020, vol. 51, issue 2, 496-530
Economists typically model a plant's productivity as an exogenous characteristic, but the people who run and work at manufacturing plants make choices, at a cost, that affect plant productivity. I develop a method to partially identify the productivity distribution when such choices determine productivity. The method uses a monotone comparative static result I prove in a general economic model. It does not require instruments or timing assumptions. I use the method to study the effect of implementing market‐based pricing on productivity in the electricity generation industry.
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
Working Paper: Identifying productivity when it is a factor of production (2018)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:bla:randje:v:51:y:2020:i:2:p:496-530
Ordering information: This journal article can be ordered from
http://www.blackwell ... al.asp?ref=0741-6261
Access Statistics for this article
RAND Journal of Economics is currently edited by James Hosek
More articles in RAND Journal of Economics from RAND Corporation Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().