Decomposition of Cost Competitiveness in U.S. Manufacturing: Some State-by-State Comparisons

Subhash Ray and Kankana Mukherjee

Indian Economic Review, 2000, vol. 35, issue 2, 133-153

Abstract: In this paper we propose a measure of the competitiveness index of one firm relative to another in the same industry. We also provide a decomposition procedure that relates the measured index of competitiveness to separate components capturing differences in cost efficiency, input prices, and scale economies. In the empirical application, we use data from the 1992 Census of Manufactures to rank the performance of the individual states in U.S. manufacturing.

JEL-codes: L60 (search for similar items in EconPapers)
Date: 2000
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