Heterogeneity of total factor productivity across Latin American countries: evidence from manufacturing firms

Daniel Kapp () and Alan Sanchez
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Daniel Kapp: CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement

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Abstract: We use a firm production function approach to generate estimates of total factor productivity (TFP) and labor productivity in the manufacturing sector for a group of Latin American countries. We exploit these estimates to study the relative position of countries within this sector and to explore the main correlates of firm productivity. We find that while the exact ranking of average TPF is sensitive to the underlying form of the production function, Chile and Argentina average level of TFP is found to be consistenly above that of other countries, while Bolivia firms always appears at the bottom of the distribution. While other aspects matter, the main factors explaining differences in productivity across firms are related to country-level, not firm-level, characteristics.

Keywords: Latin America; Total factor productivity; multi factor productivity; labor productivity; Latin America.; Productivité globale des facteurs; productivité multifactorielle; productivité du travail; Amérique Latine. (search for similar items in EconPapers)
Date: 2012-05
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00707266v1
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Published in 2012

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Working Paper: Heterogeneity of total factor productivity across Latin American countries: evidence from manufacturing firms (2012)
Working Paper: Heterogeneity of total factor productivity across Latin American countries: evidence from manufacturing firms (2012)
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