Productivity transitions in the US manufacturing sector

Jens Krüger ()

Applied Economics Letters, 2004, vol. 11, issue 15, 935-937

Abstract: This note investigates productivity dynamics of US manufacturing industries during the period 1958-1996. Nonparametric methods are used to calculate total factor productivity relative to a frontier production function and to estimate the transition density. The shape of the transition density leads to the conclusion that persistence relative to the frontier function plays a substantial role in sectoral productivity development, thereby contradicting the existence of strong intertemporal spillover effects between sectors as supposed in recent growth models.

Date: 2004
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DOI: 10.1080/1350485042000285823

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