The simultaneity bias consistent estimates of the production function’s parameters,
obtained for each macro sector, have then been used to calculate each firm’s Hicks-
neutral TFP as residual between actual and predicted output values. In order to make the
TFP estimates comparable across industries, the exponential values of TFP were divided
by the corresponding year and industry average29.
Table 5 reports descriptive statistics on the performance variables calculated dividing the
sample according to their trade practices. Both the TFP Index and the natural logarithm
of TFP show that exporters, importers and firms engaged in international networks are
on average more productive than firms that rely on the domestic market as source of
inputs and/or destination of output.
Table 5 Relationship with performance
Variable__________ |
Obs |
Mean |
Std. Dev |
Obs |
Mean |
Std. Dev |
______________Importers______________ |
___________Non Importers___________ | |||||
TFPJndex |
147 |
1,1736 |
0,5638 |
412 |
1,0384 |
0,5024 |
InTFP |
147 |
1,7392 |
1,4901 |
412 |
0,6662 |
1,3036 |
Exporters |
Non Exporters | |||||
TFPJndex |
291 |
1,1389 |
0,583 |
284 |
1,0047 |
0,4289 |
lnTFP |
291 |
1,1807 |
1,3891 |
284 |
0,7174 |
1,4438 |
IE>0 |
IE=0 | |||||
TFPJndex |
119 |
1,2274 |
0,5795 |
440 |
1,0329 |
0,4982 |
lnTFP |
119 |
1,7968 |
1,3708 |
440 |
0,7188 |
1,3641 |
5.1.1 Profitability
Before proceeding with the analysis it must be observed that theoretical production
functions explain quantities of output trough quantities of inputs. However, in empirical
29 To mitigate the problem of misreporting and outliers we used as industry-year TFP average the Huber
mean truncating the one percent tails of the distributions.
15
More intriguing information
1. Non-causality in Bivariate Binary Panel Data2. Segmentación en la era de la globalización: ¿Cómo encontrar un segmento nuevo de mercado?
3. Neighborhood Effects, Public Housing and Unemployment in France
4. Special and Differential Treatment in the WTO Agricultural Negotiations
5. SLA RESEARCH ON SELF-DIRECTION: THEORETICAL AND PRACTICAL ISSUES
6. What should educational research do, and how should it do it? A response to “Will a clinical approach make educational research more relevant to practice” by Jacquelien Bulterman-Bos
7. Constrained School Choice
8. The name is absent
9. NVESTIGATING LEXICAL ACQUISITION PATTERNS: CONTEXT AND COGNITION
10. Human Rights Violations by the Executive: Complicity of the Judiciary in Cameroon?