Intertemporal and Interspatial Productivity Differentials in U.S. Manufacturing

Gasper A Garofalo and Devinder M Malhotra

The Annals of Regional Science, 1989, vol. 23, issue 2, 36 pages

Abstract: This study analyzes the role productivity plays in explaining the variation in regional manufacturing growth rates. Using the neoclassical growth accounting procedure, we measure productivity from an intertemporal and interspatial perspective. Previous regional studies of U.S. manufacturing look only at the contribution of intertemporal productivity growth in explaining regional growth. These studies ignore the level of productivity and its effect on regional growth. For each year of our study, we rank regional by their interspatial productivity index. We find little difference between the productivity growth rates among the regions of the North and South. Differences among the regions emerge only when we consider interspatial productivity differentials. The North's level of factor productivity is 25 to 30 percent higher than the South's. The absolute productivity disadvantage of the Suoth, however, is offset by its low input prices. Thus, it is the cost advantage of the South and not its productivity advantage that explains the region's relatively high growth rate.

Date: 1989
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:anresc:v:23:y:1989:i:2:p:121-36

Ordering information: This journal article can be ordered from
http://link.springer.com/journal/168

Access Statistics for this article

The Annals of Regional Science is currently edited by Martin Andersson, E. Kim and Janet E. Kohlhase

More articles in The Annals of Regional Science from Springer, Western Regional Science Association Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().