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The Distribution of Productivity in Irish Manufacturing Between 1995 and 2004 – Determinants, Changes and Implications

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  • Stefanie Haller

    (The Economic and Social Research Institute, Dublin)

Abstract

Using plant level data from the Irish Census of Industrial Production, this paper documents the extent of the productivity spread in Irish manufacturing industries and its determinants. It looks at changes in the distribution of productivity over the period 1995-2004 and at movements of plants within the distribution. It also examines the relationship between spreads and productivity growth. The annual average productivity growth of 3.9 per cent over the period has rendered plants across the distribution more productive. However, there was less than proportional entry of new plants at the top of the productivity distribution until 2000. Persistence of plants within the productivity distribution is high, although mean convergence is faster for plants with below average productivity. Productivity growth is slower in industries with larger spreads in the lower half of the distribution.

Suggested Citation

  • Stefanie Haller, 2008. "The Distribution of Productivity in Irish Manufacturing Between 1995 and 2004 – Determinants, Changes and Implications," The Economic and Social Review, Economic and Social Studies, vol. 39(1), pages 13-38.
    • Handle: RePEc:eso:journl:v:39:y:2008:i:1:p:13-38
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    File URL: http://www.esr.ie/Vol39_1/02%20Haller.pdf
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    References listed on IDEAS

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    1. Martin Neil Baily & Charles Hulten & David Campbell, 1992. "Productivity Dynamics in Manufacturing Plants," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 23(1992 Micr), pages 187-267.
    2. Mark Doms & Eric J. Bartelsman, 2000. "Understanding Productivity: Lessons from Longitudinal Microdata," Journal of Economic Literature, American Economic Association, vol. 38(3), pages 569-594, September.
    3. Oulton, Nicholas, 1998. "Competition and the Dispersion of Labour Productivity amongst UK Companies," Oxford Economic Papers, Oxford University Press, vol. 50(1), pages 23-38, January.
    4. Girma, Sourafel & Gorg, Holger & Strobl, Eric, 2004. "Exports, international investment, and plant performance: evidence from a non-parametric test," Economics Letters, Elsevier, vol. 83(3), pages 317-324, June.
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    Cited by:

    1. Daniela Maggioni, 2013. "Productivity Dispersion and its Determinants: The Role of Import Penetration," Journal of Industry, Competition and Trade, Springer, vol. 13(4), pages 537-561, December.

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