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"Perspiration" versus "Inspiration" in Malaysian Industrialisation

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Abstract

This paper studies the process of Malaysian industrialisation by examining the productivity performance of 28 manufacturing industries from 1981-96. Unlike previous studies, here, an improved version of the stochastic frontier model is used to determine if manufacturing output growth was a result of perspiration (factor accumulation) and/or inspiration (total factor productivity growth). In addition, productivity growth is decomposed to obtain measures of technological progress and technical efficiency, thereby paving the path for more accurate policy implications for sustainable growth in the Malaysian manufacturing sector.

Suggested Citation

  • Mahadevan, Renuka, 2002. ""Perspiration" versus "Inspiration" in Malaysian Industrialisation," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 55(4), pages 501-519.
    • Handle: RePEc:ris:ecoint:0175
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    More about this item

    Keywords

    Total factor productivity growth; Technological progress; and Technical efficiency;
    All these keywords.

    JEL classification:

    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • O50 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - General

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