Corporate Restructuring and Labor Productivity Growth

Katariina Nilsson Hakkala

No 619, Working Paper Series from Research Institute of Industrial Economics

Abstract: This paper analyzes corporate restructuring and its role in generating labor productivity growth in a sample of large Swedish manufacturing corporations. It is found that external restructuring, including ownership changes, start-ups and closures of plants, accounted for up to 47 percent of the productivity growth of the sample of corporations during the 1986-96 period. The results indicate that the productivity of large multi-plant corporations grew almost twice as fast as that of single-plant firms with the same internal productivity growth, thanks to their organizational flexibility. Divestitures of low productive plants were found to play a particularly important role in the replacement process generating productivity growth. The effect of external restructuring on productivity is to some extent explained by a shift towards a more skill-intensive production.

Keywords: Corporate Restructuring; Labor Productivity Growth (search for similar items in EconPapers)
JEL-codes: D24 F23 G34 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2004-02-28
New Economics Papers: this item is included in nep-acc and nep-ino
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.ifn.se/Wfiles/wp/WP619.pdf (application/pdf)

Related works:
Journal Article: Corporate restructuring and labor productivity growth (2006)
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:hhs:iuiwop:0619

Access Statistics for this paper

More papers in Working Paper Series from Research Institute of Industrial Economics Research Institute of Industrial Economics, Box 55665, SE-102 15 Stockholm, Sweden. Contact information at EDIRC.
Bibliographic data for series maintained by Elisabeth Gustafsson ().