Sector Switching: An Unexplored Dimension of Firm Dynamics in Developing Countries



Table C: THEORETICAL PROPERTIES OF ESTIMATED PRODUCTION FUNCTIONS

Sector_____________________

15

17

18

19

20

ln y I ∂ ln x1 : Mean

0.6040

0.8369

0.8606

0.8710

0.7846

% negative

0.00

0.00

0.00

0.00

0.00

lny∕∂ln x2 : Mean

0.3506

0.3116

0.2564

0.2164

0.3002

% negative

0.00

0.00

0.00

6.52

0.00

Curvature Violation (%)

0.13

0.00

0.00

24.51

0.00

Sector_____________________

21

22

24

25

26

ln y/∂ ln x1 : Mean

0.7678

0.9611

0.6735

0.7532

0.7962

% negative

0.00

0.00

0.00

0.00

0.00

ln y∕∂ ln x2 : Mean

0.3492

0.3342

0.5477

0.4073

0.3732

% negative

0.00

0.00

0.00

0.42

0.00

Curvature Violation (%)

0.63

0.00

0.00

7.10

0.00

Sector_____________________

27

28

29

31

32

ln y/∂ ln x1 : Mean

0.7932

0.8454

0.7271

0.5832

0.5398

% negative

0.00

0.00

0.00

5.41

0.54

lny∕∂ln x2 : Mean

0.2837

0.3120

0.4092

0.6088

0.6378

% negative

5.51

0.02

0.00

1.06

0.54

Curvature Violation (%)

36.23

3.58

0.00

59.89

7.80

Sector_____________________

33

34

35

36

ln y/∂ ln x1 : Mean

0.8236

0.8992

0.7967

0.8122

% negative

0.00

0.00

0.00

0.00

ln y∕∂ ln x2 : Mean

0.3375

0.2569

0.3068

0.3079

% negative

0.00

29.56

0.10

0.06

Curvature Violation (%)

0.00

51.06

3.50

2.34

45



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