Imperfect Competition and Total Factor Productivity Growth in U.S. Food Processing

Azzeddine Azzam, Elena Lopez and Rigoberto Lopez

No 25147, Research Reports from University of Connecticut, Food Marketing Policy Center

Abstract: This article examines the role of imperfect competition in determining total factor productivity growth (TFPG) by bringing together a New Empirical Industrial Organization (NEIO) model and the TFPG model of Nadiri and Mamuneas (1998). Applying the integrated model to 1973-92 data from 29 food processing industries revealed that changes in markups, economies of scale, and demand growth contributed positively to TFPG while the disembodied technical change was a negative contributor. Furthermore, the TFPG estimates are starkly different from the conventional (Solow's residual) TFPG measures, underscoring the need to account for imperfect competition, returns to scale, and demand in analyses of this type.

Keywords: Agribusiness; Industrial Organization; Productivity Analysis (search for similar items in EconPapers)
Pages: 16
Date: 2002
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
https://ageconsearch.umn.edu/record/25147/files/rr020068.pdf (application/pdf)

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:ags:uconnr:25147

DOI: 10.22004/ag.econ.25147

Access Statistics for this paper

More papers in Research Reports from University of Connecticut, Food Marketing Policy Center Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().