IDEAS home Printed from https://ideas.repec.org/a/taf/jdevst/v43y2007i4p649-674.html
   My bibliography  Save this article

Productivity growth of East Asia economies' manufacturing: A decomposition analysis

Author

Listed:
  • Hailin Liao
  • Mark Holmes
  • Tom Weyman-Jones
  • David Llewellyn

Abstract

Applying a stochastic production frontier to sector-level data within manufacturing, this paper examines total factor productivity (TFP) growth for seven East Asian economies during 1963-98, using both single country and cross-country regressions. The analysis focuses on the trend in technological progress (TP) and technical efficiency change (TEC), and the role of productivity change in economic growth. The empirical results reveal that although input factor accumulation is still the main source for East Asian economies' growth, TFP growth is accounting for an increasing and important proportion of output growth, among which the improved TEC plays a crucial role in productivity growth.

Suggested Citation

  • Hailin Liao & Mark Holmes & Tom Weyman-Jones & David Llewellyn, 2007. "Productivity growth of East Asia economies' manufacturing: A decomposition analysis," Journal of Development Studies, Taylor & Francis Journals, vol. 43(4), pages 649-674.
    • Handle: RePEc:taf:jdevst:v:43:y:2007:i:4:p:649-674
    DOI: 10.1080/00220380701259723
    as

    Download full text from publisher

    File URL: http://www.tandfonline.com/doi/abs/10.1080/00220380701259723
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00220380701259723?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. repec:dgr:rugggd:199840 is not listed on IDEAS
    2. Nicholas Crafts, 1999. "East Asian Growth Before and After the Crisis," IMF Staff Papers, Palgrave Macmillan, vol. 46(2), pages 1-2.
    3. Fried, Harold O. & Lovell, C. A. Knox & Schmidt, Shelton S. (ed.), 1993. "The Measurement of Productive Efficiency: Techniques and Applications," OUP Catalogue, Oxford University Press, number 9780195072181.
    4. Michael Hobday, 1995. "Innovation In East Asia," Books, Edward Elgar Publishing, number 226.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Adetutu, Morakinyo O. & Glass, Anthony J. & Weyman-Jones, Thomas G., 2016. "Decomposing energy demand across BRIIC countries," Energy Economics, Elsevier, vol. 54(C), pages 396-404.
    2. Kumar, Surender & Managi, Shunsuke, 2012. "Productivity and convergence in India: A state-level analysis," Journal of Asian Economics, Elsevier, vol. 23(5), pages 548-559.
    3. Shi‐Xiao Wang & Wen‐Min Lu & Shiu‐Wan Hung, 2020. "Improving innovation efficiency of emerging economies: The role of manufacturing," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 41(4), pages 503-519, June.
    4. Erol Taymaz & Ebru Voyvoda & Kamil Yilmaz, 2008. "Turkiye Imalat Sanayiinde Yapisal Dönüsüm ve Teknolojik Degisme Dinamikleri," ERC Working Papers 0804, ERC - Economic Research Center, Middle East Technical University, revised Jun 2008.
    5. Simanti Bandyopadhyay, 2010. "Effect of regulation on efficiency: evidence from Indian cement industry," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 18(2), pages 153-170, June.
    6. Erol Taymaz & Ebru Voyvoda & Kamil Yilmaz, 2010. "Global Links and Local Bonds: The Role of Ownership and Size in Productivity Growth," Koç University-TUSIAD Economic Research Forum Working Papers 1020, Koc University-TUSIAD Economic Research Forum.
    7. Ghebremichael, Asghedom & Potter-Witter, Karen, 2009. "Effects of tax incentives on long-run capital formation and total factor productivity growth in the Canadian sawmilling industry," Forest Policy and Economics, Elsevier, vol. 11(2), pages 85-94, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nicholas Crafts & Anthony Venables, 2003. "Globalization in History.A Geographical Perspective," NBER Chapters, in: Globalization in Historical Perspective, pages 323-370, National Bureau of Economic Research, Inc.
    2. Franz R. Hahn, 2007. "Determinants of Bank Efficiency in Europe. Assessing Bank Performance Across Markets," WIFO Studies, WIFO, number 31499.
    3. Wei ZHAO & Rigas ARVANITIS, 2008. "L’INeGAL DeVELOPPEMENT INDUSTRIEL DE LA CHINE : CAPACITeS D’INNOVATION ET COEXISTENCE DE DIFFeRENTS MODES D’APPRENTISSAGE TECHNOLOGIQUE," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 28, pages 61-85.
    4. Dowling, Malcolm & Ray, David, 2000. "The structure and composition of international trade in Asia:: historical trends and future prospects," Journal of Asian Economics, Elsevier, vol. 11(3), pages 301-318, December.
    5. Markusen, James R. & Venables, Anthony J., 1999. "Foreign direct investment as a catalyst for industrial development," European Economic Review, Elsevier, vol. 43(2), pages 335-356, February.
    6. Wu, Yanrui, 1995. "The productive efficiency of Chinese iron and steel firms A stochastic frontier analysis," Resources Policy, Elsevier, vol. 21(3), pages 215-222, September.
    7. Heather Smith, 1999. "The Failure of Korea Inc," Agenda - A Journal of Policy Analysis and Reform, Australian National University, College of Business and Economics, School of Economics, vol. 6(2), pages 153-166.
    8. Hu, Jin-Li & Wang, Shih-Chuan & Yeh, Fang-Yu, 2006. "Total-factor water efficiency of regions in China," Resources Policy, Elsevier, vol. 31(4), pages 217-230, December.
    9. Dhehibi, Boubaker & Lachaal, Lassaad & Elloumi, Mohamed & Messaoud, Emna B., 2007. "Measurement and Sources of Technical Inefficiency in the Tunisian Citrus Growing Sector," 103rd Seminar, April 23-25, 2007, Barcelona, Spain 9391, European Association of Agricultural Economists.
    10. Can Huang & Naubahar Sharif, 2016. "Global technology leadership: The case of China," Science and Public Policy, Oxford University Press, vol. 43(1), pages 62-73.
    11. Oleg Badunenko & Michael Fritsch & Andreas Stephan, 2006. "What Determines the Technical Efficiency of a Firm? The Importance of Industry, Location, and Size," Jenaer Schriften zur Wirtschaftswissenschaft (Expired!) 33/2006, Friedrich-Schiller-Universität Jena, Wirtschaftswissenschaftliche Fakultät.
    12. Oguntade, Adegboyega Eyitayo & Fatunmbi, Temitope Enitan & Folayan, Joshua Adio, 2013. "Productivity of Timber Processing in Ondo State, Nigeria," Sustainable Agriculture Research, Canadian Center of Science and Education, vol. 2(1).
    13. Francesco Quatraro & Marco Vivarelli, 2015. "Drivers of Entrepreneurship and Post-entry Performance of Newborn Firms in Developing Countries," The World Bank Research Observer, World Bank, vol. 30(2), pages 277-305.
    14. Abhiman Das & K. R. Sanmugam, 2004. "Efficiency of Indian commercial banks during the reform period," Industrial Organization 0410005, University Library of Munich, Germany.
    15. Rajah Rasiah & Yap Xiao Shan, 2016. "Institutional support, technological capabilities and domestic linkages in the semiconductor industry in Singapore," Asia Pacific Business Review, Taylor & Francis Journals, vol. 22(1), pages 180-192, January.
    16. Jahan Ara Peerally & John Cantwell, 2011. "The Impact Of Trade Policy Regimes On Firms' Learning For Innovation From Suppliers," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 15(01), pages 29-68.
    17. K. -L. Wang & Y. -T. Tseng & C. -C. Weng, 2003. "A study of production efficiencies of integrated securities firms in Taiwan," Applied Financial Economics, Taylor & Francis Journals, vol. 13(3), pages 159-167.
    18. Philippe K. Widmer & Peter Zweifel, 2008. "Public Good Provision in a Federalist Country: Tiebout Competition, Fiscal Equalization, and Incentives for Efficiency in Switzerland," SOI - Working Papers 0804, Socioeconomic Institute - University of Zurich, revised Dec 2010.
    19. Kerekes, Monika, 2007. "Analyzing patterns of economic growth: a production frontier approach," Discussion Papers 2007/15, Free University Berlin, School of Business & Economics.
    20. Tirta Mursitama, 2006. "Creating relational rents: The effect of business groups on affiliated firms’ performance in Indonesia," Asia Pacific Journal of Management, Springer, vol. 23(4), pages 537-557, December.

    More about this item

    Keywords

    JEL Classification: D24; L60; O30; O53; O47;
    All these keywords.

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jdevst:v:43:y:2007:i:4:p:649-674. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/FJDS20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.