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Unbundling Technology Adoption and TFP at the Firm Level. Do Intangibles Matter?

Author

Listed:
  • Michele Battisti

    (University of Palermo, Italy; CeLEG LUISS Guido Carli, Italy; RCEA, Italy)

  • Filippo Belloc

    ("G.d'Annunzio" University, Italy)

  • Massimo Del Gatto

    ("G.d'Annunzio" University; CRENoS, Italy)

Abstract

We use a panel of European firms to investigate the relationship between intangible assets and productivity. We disentangle between tfp and technology adoption, while available studies so far have considered only a notion of productivity conflating the two effects. To this aim, we estimate production function parameters allowing, within each sector, for the existence of multiple technologies. We find that intangible assets both push the firm towards better technologies (technology adoption effects) and allow for a more efficient exploitation of a given technology (tfp effects).

Suggested Citation

  • Michele Battisti & Filippo Belloc & Massimo Del Gatto, 2012. "Unbundling Technology Adoption and TFP at the Firm Level. Do Intangibles Matter?," Working Paper series 71_12, Rimini Centre for Economic Analysis.
    • Handle: RePEc:rim:rimwps:71_12
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    More about this item

    Keywords

    TFP; intangible assets; firm heterogeneity; firm selection; technology adoption; mixture models;
    All these keywords.

    JEL classification:

    • C29 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Other
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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