Department of Economics
University of Toronto
150 St. George Street
Toronto, ON M5S 1A1 CANADA
Tel: (416) 978-4442
Information about this author at RePEc
NBER Working Papers and Publications
|January 2017||Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from China|
with Tasso Adamopoulos, Jessica Leight, Diego Restuccia: w23039
We use household-level panel data from China and a quantitative framework to document the extent and consequences of factor misallocation in agriculture. We find that there are substantial frictions in both the land and capital markets linked to land institutions in rural China that disproportionately constrain the more productive farmers. These frictions reduce aggregate agricultural productivity in China by affecting two key margins: (1) the allocation of resources across farmers (misallocation) and (2) the allocation of workers across sectors, in particular the type of farmers who operate in agriculture (selection). We show that selection can substantially amplify the static misallocation effect of distortionary policies by affecting occupational choices that worsen the distribution of ...
|July 2009||Creative Accounting or Creative Destruction? Firm-level Productivity Growth in Chinese Manufacturing|
with Johannes Van Biesebroeck, Yifan Zhang: w15152
We present the first comprehensive set of firm-level total factor productivity estimates for China's manufacturing sector that spans her entry into WTO. We find that productivity growth is among the highest compared to other countries. For our preferred estimate, the weighted average annual productivity growth for incumbents is 2.7% for a gross output production function and 7.7% for a value added production function over the period 1998-2006. Of the various sensitivity checks we carry out, controlling for the increase in labor quality and labor hours, as proxied by the rising real wage, has the largest (downward) effect on the productivity estimates. We further document that new entrants are a particularly dynamic force and that firms experience large productivity declines before exiting ...
Published: Brandt, Loren & Van Biesebroeck, Johannes & Zhang, Yifan, 2012. "Creative accounting or creative destruction? Firm-level productivity growth in Chinese manufacturing," Journal of Development Economics, Elsevier, vol. 97(2), pages 339-351. citation courtesy of