Resource misallocation in Thai manufacturing industries between 1996 and 2011

Siwapong Dheera-aumpon

International Journal of Economic Policy in Emerging Economies, 2018, vol. 11, issue 4, 306-311

Abstract: This paper uses plant-level data from Thailand censuses to study the extent of resource misallocation across plants within the same industry and its effect on aggregate productivity in Thai manufacturing sector between 1996 and 2011. The findings indicate that resource misallocation in Thai manufacturing industries has not been improved but worsened. If resource misallocation is reduced to the level observed in the USA, aggregate manufacturing productivity would increase by about 64% in 1996, 73% in 2006, and 83% in 2011. The automotive industry greatly contributes to this productivity gain in recent years.

Keywords: misallocation; distortion; manufacturing; productivity; total factor productivity; TFP; Thai; Thailand. (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijepee:v:11:y:2018:i:4:p:306-311

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