Measuring and Analysis of Total, Factor Productivity (Case Study: Industrial Sector of Kordestan Province)
Subject Areas : Business Management
Sedige Atrkar roshan
1
(
Faculty Member, Department of Economics, Al-Zahra University
)
Fateme Rasouli
2
(
Master of Science (Economics), Al-Zahra University
)
Keywords: TFP, Translog Production function, Divisia Index, Kordestan JEL Classification: O47, J24, D24,
Abstract :
The purpose of this research is to measure and analyse the total factor productivity (TFP). The case under study is the industrial sector of Kordestan Province in Iran. In order to achieve this goal, based on the International classification of the commodities, ( ISIC Riv, 2) and applying panel data for the period 2005-2011, the industrial sector is categorized into 23 groups and the productivity is measured. Since the data for the capital stock is not available for the Kordestan Province, it is calculated in this study first. Using various production functions, and selecting the most suitable functions, the elastisities, are then estimated. In the next step, the TFP is measured by applying the Divisia Index, for the period under consideration. The findings of this research show that TFP for the Industrial sector of Kordestan Province has reduced annually by 2 percent on average.However, the TFP in the industrial sector as a whole was 0/06 during the period under study.
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- Abtahi, H and Kazemi, B. (1996), “Productivity” Tehran, Institute of Commerce Studies and Research.
- Ashrafzadeh, H and Mehrghan, N. (2008), “Econometric Panel Data”, Tehran, Cooperative Research Institute of Tehran University.
- Emami Meybodi, A. (2000), “Principles of Measuring Performance and Productivity (Applied Science)”, Tehran, Institute of Commerce Studies and Research.
- Amini, A. (2005), “Measurement and analysis of factors affecting total factor productivity in the industrial and mining sectors”, Program and Budget Magazine, N 4.
- Baltaji, H. (2008), “Econometric studies”, (Translation: Reza Taleb Leo and Sholeh Bagheri Farsi). Tehran: Neshrani.
- Dehmorde, N and Ghasht ghar, N. (2011), “Estimation of labor and capital productivity in industry and mining sector of Sistan and Balouchestan province”, Master's thesis. Sistan, Baluchestan University.
- Zarae Nejad, M and Ansari, E. (2007), “Measurement of capital productivity in major industries of Khuzestan province”, Quarterly Economic Reviews.
- National Productivity Organization. (1997), “Guidance on Measuring and Analyzing Productivity in Industrial Units”, Tehran, Basir Publications.
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- Deputy Economic and Planning. (1995), “Basic Concepts of Productivity”, Tehran, Foundation of Mostazafan and devotees of the Islamic Revolution.
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- - Nicholson, Walter. (2002), “Microeconomic Theory Basic Principles and Additional Issues”, (Translation by Mohammad Mehdi Asgari, Tehran: Imam Sadiq University.
- Bonelli, R. (2007), Growth and Productivity in Brazilian Industries. Journal of Development Economics.Vol 39.
- Diewert, W.E (1976), Exact and Superlative Index Numbers. Journal of Econometrics. Vol 4.
- God Frey, Kalinga (2006), Economic Growth and Total Factor Productivity in Niger. IMF Working Paper, WP/06/208.
- Jajri, Idris. (2011), Total Factor Productivity and Output Growth in Malaysian, Annals: Economic and Administrative Series .Vol 5.
- Jiangsu Province. China Economic Review. Vol 9.
- Miller, Eric. (2008),an Assessment of CES and Cobb-Douglas Production Functions. Congressional Budget Office.
- Seshaiah, S. Venkata. & Reddy, V.K. (1993), Productivity Trends in Some Industries of Anthrapradesh Manufacturing Sector, The Indian Economic Journal. Vol 41.
- Van der Eng, P. (2009), Total Factor Productivity and Economic Growth. Oxford University Press.
