ASSIGNMENT ON MISALLOCATION AND AGGREGATE PRODUCTIVITY A REVIEW PDF



Assignment On Misallocation And Aggregate Productivity A Review Pdf

Advanced Studies in Economics 2) July 2014. Ashique Habib Misallocation and Financial Market Distortions: Some Direct Evidence from the Dispersion of Borrowing Costs. Brief Literature Review: Some recent papers: Evidence of large losses: Amaral and Quintin (2010) and Greenwood et al (2010) suggest a large portion of TFP di erences across countries can be atributed to imperfect nancial markets (50% to 80%). Evidence of small losses, Differences in aggregate total factor productivity (TFP) are a key source of large cross-country income differences. 1 In addition, misallocation of inputs can be an important reason for low levels of aggregate TFP in poor countries. 2 Understand-.

Advanced Studies in Economics 2) July 2014

Misallocation and productivity Review of Economic. Misallocation and Aggregate Productivity across Time and Space Diego Restuccia University of Toronto and NBER State of the Art Lecture Canadian Economic Association, CAPITAL MISALLOCATION AND AGGREGATE FACTOR PRODUCTIVITY COSTAS AZARIADIS Washington University LEO KAAS University of Konstanz We propose a sectoral–shift theory of aggregate factor productivity for a class of multisector economies with AK technologies and a constant production possibilities frontier. Loans are partly secured by collateral and partly based on reputation. ….

Information, Misallocation and Aggregate Productivity (with Hugo Hopenhayn and Venky Venkateswaran) Quarterly Journal of Economics, 131 (2016), 943-1005. [Paper] [Appendix] [Slides] We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output. University of Toronto Department of Economics January 03, 2017 By Tasso Adamopoulos, Loren Brandt, Jessica Leight and Diego Restuccia Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from China Working Paper 574. Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from Chinay Tasso Adamopoulos York University Loren Brandt

productivity shocks explain most of the gap in misallocation between manufacturing and services, while the remainder is explained by differences in firm productivity and age distribution. capital and labor lowers aggregate productivity and s the returns to factorsdistort (Hsieh and Klenow, 2009; Restuccia and Rogerson, 2008). The empirical evidence for Mexico summarized below shows that misallocation is very

Differences in aggregate total factor productivity (TFP) are a key source of large cross-country income differences. 1 In addition, misallocation of inputs can be an important reason for low levels of aggregate TFP in poor countries. 2 Understand- INFORMATION, MISALLOCATION AND AGGREGATE PRODUCTIVITY Joel M. David Hugo A. Hopenhayn Venky Venkateswaran August 25, 2015 We propose a theory linking imperfect information to …

Information, Misallocation and Aggregate Productivity Joel M. Davidy USC Hugo A. Hopenhaynz UCLA Venky Venkateswaran§ NYU Stern April 15, 2014 Abstract 16I036 Trade, Misallocation and Growth Trade, Misallocation and Growth 1 Overview and Objectives The students will learn theoretical tools related to trade, growth and development to rigorously analyze important topics in macroeconomics. In particular, the students will become familiar with the frontier research on growth, with special emphasis on papers analyzing the evolution of productivity

examines the long-run e ects of resource misallocation on the economy’s aggregate variables within an otherwise standard one-sector neoclassical growth model in which output is carried out by het- erogeneous establishments, characterized by di erent ages and productivity levels, that are subject productivity shocks explain most of the gap in misallocation between manufacturing and services, while the remainder is explained by differences in firm productivity and age distribution.

Information, Misallocation and Aggregate Productivity Joel M. Davidy USC Hugo A. Hopenhaynz UCLA Venky Venkateswaran§ NYU Stern June 17, 2014 Abstract quantify the aggregate productivity loss due to misallocation of labour and capital across space in China, but the sources of misallocation are not explicitly modeled. In contrast, we model trade and migration costs as specific sources of misallocation.

CAPITAL MISALLOCATION AND AGGREGATE FACTOR PRODUCTIVITY COSTAS AZARIADIS Washington University LEO KAAS University of Konstanz We propose a sectoral–shift theory of aggregate factor productivity for a class of multisector economies with AK technologies and a constant production possibilities frontier. Loans are partly secured by collateral and partly based on reputation. … Policies and institutions generating misallocation are prevalent in poor and developing countries and may also be responsible for differences in the selection of operating producers and technology used, contributing substantially to aggregate productivity differences across countries.

quantify the aggregate productivity loss due to misallocation of labour and capital across space in China, but the sources of misallocation are not explicitly modeled. In contrast, we model trade and migration costs as specific sources of misallocation. Published Research: "Firing Costs, Misallocation, and Aggregate Productivity," with Jose-Maria Da-Rocha and Marina M. Tavares Journal of Economic Dynamics and …

The results show that misallocation has a significant negative effect on aggregate productivity. On average, aggregate TFP could be increased by around 120% if distortions are Restuccia and Rogerson (2008): Policy distortions and aggregate productivity with het- erogeneous establishments, Review of Economic Dynamics. Hsieh and Klenow (2009): Misallocation and manufacturing TFP in China and India, Quar-

Resource Misallocation and Aggregate Productivity under. Policies and institutions generating misallocation are prevalent in poor and developing countries and may also be responsible for differences in the selection of operating producers and technology used, contributing substantially to aggregate productivity differences across countries., If misallocation had remained at its 1995 level, in 2013 Italy’s aggregate productivity would have been 18% higher than its actual level. Misallocation has mainly risen within sectors than between them, increasing more in sectors where the world technological frontier has expanded faster. Relative specialization in those sectors explains the patterns of misallocation across geographical.

Advanced Studies in Economics 2) July 2014

assignment on misallocation and aggregate productivity a review pdf

Research Joel M. David - Google Sites. that misallocation can be responsible for signi cant aggregate GDP losses.3 Within this literature, some papers are interested in understanding the consequences of nan- cial crises on output and productivity (see, for example, Benjamin and Meza (2009),, University of Toronto Department of Economics January 03, 2017 By Tasso Adamopoulos, Loren Brandt, Jessica Leight and Diego Restuccia Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from China Working Paper 574. Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from Chinay Tasso Adamopoulos York University Loren Brandt.

Research Joel M. David - Google Sites

assignment on misallocation and aggregate productivity a review pdf

The Causes and Costs of Misallocation. Information, Misallocation and Aggregate Productivity (with Hugo Hopenhayn and Venky Venkateswaran) Quarterly Journal of Economics, 131 (2016), 943-1005. [Paper] [Appendix] [Slides] We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output. Information, Misallocation and Aggregate Productivity Joel M. Davidy USC Hugo A. Hopenhaynz UCLA Venky Venkateswaran§ NYU Stern April 15, 2014 Abstract.

assignment on misallocation and aggregate productivity a review pdf


The misallocation of production factors, with structural misallocation as an important aspect, is a key instigator of low total factor productivity (TFP) growth rate in China, but one important between the initial endowment and productivity to match the di erences in output growth rates and rates of return to capital among young and old plants in the data, we nd once again fairly small TFP losses from misallocation.

Published Research: "Firing Costs, Misallocation, and Aggregate Productivity," with Jose-Maria Da-Rocha and Marina M. Tavares Journal of Economic Dynamics and … Read "Misallocation and productivity, Review of Economic Dynamics" on DeepDyve, the largest online rental service for scholarly research with thousands of academic publications available at …

We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output. In our setup, firms look to a variety of noisy information sources when quantify the aggregate productivity loss due to misallocation of labour and capital across space in China, but the sources of misallocation are not explicitly modeled. In contrast, we model trade and migration costs as specific sources of misallocation.

Identifying Capital Misallocation Zheng (Michael) Songy Guiying Laura Wuz This version: January 2015 Abstract Resource misallocation lowers aggregate productive e¢ ciency. • Restuccia and Rogerson, 2008, “Policy Distortions and Aggregate Productivity with Heterogeneous Establishments,” Review of Economic Dynamics • Hsieh and Klenow, 2009, “Misallocation and Manufacturing TFP in China and India ,” Quarterly Journal of

Capital Misallocation and Aggregate Factor Productivity . By Costas Azariadis and Leo Kaas. Download PDF (401 KB) Abstract. TFP, misallocation, … If misallocation had remained at its 1995 level, in 2013 Italy’s aggregate productivity would have been 18% higher than its actual level. Misallocation has mainly risen within sectors than between them, increasing more in sectors where the world technological frontier has expanded faster. Relative specialization in those sectors explains the patterns of misallocation across geographical

Ashique Habib Misallocation and Financial Market Distortions: Some Direct Evidence from the Dispersion of Borrowing Costs. Brief Literature Review: Some recent papers: Evidence of large losses: Amaral and Quintin (2010) and Greenwood et al (2010) suggest a large portion of TFP di erences across countries can be atributed to imperfect nancial markets (50% to 80%). Evidence of small losses First, we assess the e ect of misallocation on aggregate productivity by eliminating all distortions. This counterfactual generates a large 13.8-fold increase in agricultural labor productivity; a signi -

examines the long-run e ects of resource misallocation on the economy’s aggregate variables within an otherwise standard one-sector neoclassical growth model in which output is carried out by het- erogeneous establishments, characterized by di erent ages and productivity levels, that are subject of aggregate productivity differences across countries? Second, what are the main causes of misallocation? Third, beyond the direct cost of lower contemporaneous output, are there additional costs associated with misallocation? In this article, we provide our perspective on these three questions. It is not our intention to survey the literature, and as a result, we inevitably neglect many

Read "Misallocation and productivity, Review of Economic Dynamics" on DeepDyve, the largest online rental service for scholarly research with thousands of academic publications available at … The results show that misallocation has a significant negative effect on aggregate productivity. On average, aggregate TFP could be increased by around 120% if distortions are

Information, Misallocation and Aggregate Productivity Joel M. Davidy USC Hugo A. Hopenhaynz UCLA Venky Venkateswaran§ NYU Stern April 15, 2014 Abstract A summary of our answers is as follows: Misallocation appears to be a substantial channel in accounting for productivity differences across countries, but the measured magnitude of the effects depends on the approach and context. Researchers have not yet found a dominant source of misallocation; instead, many specific factors seem to contribute a small part of the overall effect. …

Productivity Losses from Financial Frictions: Can Self-Financing Undo Capital Misallocation? † effect of financial frictions on capital misallocation and aggregate productivity. My economy is isomorphic to a Solow model but with time-varying TFP. I argue that the persistence of idiosyncratic pro- ductivity shocks determines both the size of steady-state produc-tivity losses and the speed This paper attempts to measure the effect of resource misallocation on aggregate manufacturing total factor productivity, focusing on Vietnamese manufacturing firms during the period 2000–2009.

Techniques Choice Misallocation and Total Factor Productivity

assignment on misallocation and aggregate productivity a review pdf

Misallocation and Productivity in the Lead Up to the. of aggregate productivity differences across countries? Second, what are the main causes of misallocation? Third, beyond the direct cost of lower contemporaneous output, are there additional costs associated with misallocation? In this article, we provide our perspective on these three questions. It is not our intention to survey the literature, and as a result, we inevitably neglect many, Read "Misallocation and productivity, Review of Economic Dynamics" on DeepDyve, the largest online rental service for scholarly research with thousands of academic publications available at ….

Resource Misallocation and Aggregate Productivity under

Research Joel M. David - Google Sites. A summary of our answers is as follows: Misallocation appears to be a substantial channel in accounting for productivity differences across countries, but the measured magnitude of the effects depends on the approach and context. Researchers have not yet found a dominant source of misallocation; instead, many specific factors seem to contribute a small part of the overall effect. …, capital and labor lowers aggregate productivity and s the returns to factorsdistort (Hsieh and Klenow, 2009; Restuccia and Rogerson, 2008). The empirical evidence for Mexico summarized below shows that misallocation is very.

First, we assess the e ect of misallocation on aggregate productivity by eliminating all distortions. This counterfactual generates a large 13.8-fold increase in agricultural labor productivity; a signi - We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output. In our setup, firms look to a variety of noisy information sources when

A summary of our answers is as follows: Misallocation appears to be a substantial channel in accounting for productivity differences across countries, but the measured magnitude of the effects depends on the approach and context. Researchers have not yet found a dominant source of misallocation; instead, many specific factors seem to contribute a small part of the overall effect. … Policies and institutions generating misallocation are prevalent in poor and developing countries and may also be responsible for differences in the selection of operating producers and technology used, contributing substantially to aggregate productivity differences across countries.

techniques in aggregate productivity. Our approach in turn delivers new insights toward isolating Our approach in turn delivers new insights toward isolating the causes and the consequences of misallocation in techniques from that of misallocation in capital. • Restuccia and Rogerson, 2008, “Policy Distortions and Aggregate Productivity with Heterogeneous Establishments,” Review of Economic Dynamics • Hsieh and Klenow, 2009, “Misallocation and Manufacturing TFP in China and India ,” Quarterly Journal of

Differences in aggregate total factor productivity (TFP) are a key source of large cross-country income differences. 1 In addition, misallocation of inputs can be an important reason for low levels of aggregate TFP in poor countries. 2 Understand- Information, Misallocation and Aggregate Productivity (with Hugo Hopenhayn and Venky Venkateswaran) Quarterly Journal of Economics, 131 (2016), 943-1005. [Paper] [Appendix] [Slides] We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output.

Read "Misallocation and productivity, Review of Economic Dynamics" on DeepDyve, the largest online rental service for scholarly research with thousands of academic publications available at … Read "Misallocation and productivity, Review of Economic Dynamics" on DeepDyve, the largest online rental service for scholarly research with thousands of academic publications available at …

16I036 Trade, Misallocation and Growth Trade, Misallocation and Growth 1 Overview and Objectives The students will learn theoretical tools related to trade, growth and development to rigorously analyze important topics in macroeconomics. In particular, the students will become familiar with the frontier research on growth, with special emphasis on papers analyzing the evolution of productivity quantify the aggregate productivity loss due to misallocation of labour and capital across space in China, but the sources of misallocation are not explicitly modeled. In contrast, we model trade and migration costs as specific sources of misallocation.

between the initial endowment and productivity to match the di erences in output growth rates and rates of return to capital among young and old plants in the data, we nd once again fairly small TFP losses from misallocation. The results show that misallocation has a significant negative effect on aggregate productivity. On average, aggregate TFP could be increased by around 120% if distortions are

Read "Misallocation and productivity, Review of Economic Dynamics" on DeepDyve, the largest online rental service for scholarly research with thousands of academic publications available at … Productivity Losses from Financial Frictions: Can Self-Financing Undo Capital Misallocation? † effect of financial frictions on capital misallocation and aggregate productivity. My economy is isomorphic to a Solow model but with time-varying TFP. I argue that the persistence of idiosyncratic pro- ductivity shocks determines both the size of steady-state produc-tivity losses and the speed

Published Research: "Firing Costs, Misallocation, and Aggregate Productivity," with Jose-Maria Da-Rocha and Marina M. Tavares Journal of Economic Dynamics and … Jang-Ting Guo & Yutaro Izumi & Yi-Chan Tsai, 2015. "Resource Misallocation and Aggregate Productivity under Progressive Taxation," Working Papers 201502, University of California at Riverside, Department of Economics.

University of Toronto Department of Economics January 03, 2017 By Tasso Adamopoulos, Loren Brandt, Jessica Leight and Diego Restuccia Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from China Working Paper 574. Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from Chinay Tasso Adamopoulos York University Loren Brandt between the initial endowment and productivity to match the di erences in output growth rates and rates of return to capital among young and old plants in the data, we nd once again fairly small TFP losses from misallocation.

This paper was previously circulated under the title “Financial Reforms and Aggregate Productivity: The Microeconomic Channels.” The authors declare that they have no relevant or material financial interests related to the research in this paper. Published Research: "Firing Costs, Misallocation, and Aggregate Productivity," with Jose-Maria Da-Rocha and Marina M. Tavares Journal of Economic Dynamics and …

Finance and Misallocation: Evidence from Plant-Level Data Virgiliu Midrigan Daniel Yi Xuy New York University New York University October 2010 Abstract We study a model of establishment dynamics in which entrepreneurs face a nancing constraint. We ask: does the model, when parameterized to match salient features of plant-level data, predict large aggregate TFP losses from misallocation? Our Productivity Losses from Financial Frictions: Can Self-Financing Undo Capital Misallocation? † effect of financial frictions on capital misallocation and aggregate productivity. My economy is isomorphic to a Solow model but with time-varying TFP. I argue that the persistence of idiosyncratic pro- ductivity shocks determines both the size of steady-state produc-tivity losses and the speed

of factor misallocation implies a drop in aggregate TFP of 53 percent. To put it di erently, To put it di erently, in this experiment, a 1.6-fold di erence in aggregate productivity between the U.S. and India We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output. In our setup, firms look to a variety of noisy information sources when

Read "Misallocation and productivity, Review of Economic Dynamics" on DeepDyve, the largest online rental service for scholarly research with thousands of academic publications available at … examines the long-run e ects of resource misallocation on the economy’s aggregate variables within an otherwise standard one-sector neoclassical growth model in which output is carried out by het- erogeneous establishments, characterized by di erent ages and productivity levels, that are subject

Identifying Capital Misallocation Zheng (Michael) Songy Guiying Laura Wuz This version: January 2015 Abstract Resource misallocation lowers aggregate productive e¢ ciency. Capital Misallocation and Aggregate Factor Productivity . By Costas Azariadis and Leo Kaas. Download PDF (401 KB) Abstract. TFP, misallocation, …

We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output. In our setup, firms look to a variety of noisy information sources when of factor misallocation implies a drop in aggregate TFP of 53 percent. To put it di erently, To put it di erently, in this experiment, a 1.6-fold di erence in aggregate productivity between the U.S. and India

Identifying Capital Misallocation

assignment on misallocation and aggregate productivity a review pdf

A Tale of Two Sectors Why is Misallocation Higher in. resource misallocation on the economy’s aggregate variables within a standard one-sector neoclas- sical growth model in which output is carried out by heterogeneous rms subject to a progressive tax policy a la Guo and Lansing (1998) together with endogenous entry and exit decisions., Information, Misallocation and Aggregate Productivity (with Hugo Hopenhayn and Venky Venkateswaran) Quarterly Journal of Economics, 131 (2016), 943-1005. [Paper] [Appendix] [Slides] We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output..

Techniques Choice Misallocation and Total Factor Productivity

assignment on misallocation and aggregate productivity a review pdf

A Simple Accounting Framework for the Effect of Resource. of aggregate productivity differences across countries? Second, what are the main causes of misallocation? Third, beyond the direct cost of lower contemporaneous output, are there additional costs associated with misallocation? In this article, we provide our perspective on these three questions. It is not our intention to survey the literature, and as a result, we inevitably neglect many First, we assess the e ect of misallocation on aggregate productivity by eliminating all distortions. This counterfactual generates a large 13.8-fold increase in agricultural labor productivity; a signi -.

assignment on misallocation and aggregate productivity a review pdf


between the initial endowment and productivity to match the di erences in output growth rates and rates of return to capital among young and old plants in the data, we nd once again fairly small TFP losses from misallocation. This paper was previously circulated under the title “Financial Reforms and Aggregate Productivity: The Microeconomic Channels.” The authors declare that they have no relevant or material financial interests related to the research in this paper.

Finance and Misallocation: Evidence from Plant-Level Data Virgiliu Midrigan Daniel Yi Xuy New York University New York University October 2010 Abstract We study a model of establishment dynamics in which entrepreneurs face a nancing constraint. We ask: does the model, when parameterized to match salient features of plant-level data, predict large aggregate TFP losses from misallocation? Our INFORMATION, MISALLOCATION AND AGGREGATE PRODUCTIVITY Joel M. David Hugo A. Hopenhayn Venky Venkateswaran August 25, 2015 We propose a theory linking imperfect information to …

Abstract. This paper develops a simple accounting framework that measures the effect of resource misallocation on aggregate productivity. This framework is based on a multi-sector general equilibrium model with sector-specific frictions in the form of taxes on sectoral factor inputs. of factor misallocation implies a drop in aggregate TFP of 53 percent. To put it di erently, To put it di erently, in this experiment, a 1.6-fold di erence in aggregate productivity between the U.S. and India

Finance and Misallocation: Evidence from Plant-Level Data Virgiliu Midrigan Daniel Yi Xuy New York University New York University October 2010 Abstract We study a model of establishment dynamics in which entrepreneurs face a nancing constraint. We ask: does the model, when parameterized to match salient features of plant-level data, predict large aggregate TFP losses from misallocation? Our TFP & Resource Misallocation Total Factor Productivity & Resource Misallocation A Literature Review by Jie Cao . TFP & Resource Misallocation – A Literature Review 2 Agenda -The Big Picture – Economic Growth o The Facts to Be Explained o A Framework for Analysis o The Current Consensus -Zoom In – TFP / Misallocation o Decompose TFP o Efficiency o Resource Misallocation -My …

This paper was previously circulated under the title “Financial Reforms and Aggregate Productivity: The Microeconomic Channels.” The authors declare that they have no relevant or material financial interests related to the research in this paper. A summary of our answers is as follows: Misallocation appears to be a substantial channel in accounting for productivity differences across countries, but the measured magnitude of the effects depends on the approach and context. Researchers have not yet found a dominant source of misallocation; instead, many specific factors seem to contribute a small part of the overall effect. …

We propose a theory linking imperfect information to resource misallocation and hence to aggregate productivity and output. In our setup, firms look to a variety of noisy information sources when TFP & Resource Misallocation Total Factor Productivity & Resource Misallocation A Literature Review by Jie Cao . TFP & Resource Misallocation – A Literature Review 2 Agenda -The Big Picture – Economic Growth o The Facts to Be Explained o A Framework for Analysis o The Current Consensus -Zoom In – TFP / Misallocation o Decompose TFP o Efficiency o Resource Misallocation -My …

This paper attempts to measure the effect of resource misallocation on aggregate manufacturing total factor productivity, focusing on Vietnamese manufacturing firms during the period 2000–2009. capital and labor lowers aggregate productivity and s the returns to factorsdistort (Hsieh and Klenow, 2009; Restuccia and Rogerson, 2008). The empirical evidence for Mexico summarized below shows that misallocation is very

resource misallocation on the economy’s aggregate variables within a standard one-sector neoclas- sical growth model in which output is carried out by heterogeneous rms subject to a progressive tax policy a la Guo and Lansing (1998) together with endogenous entry and exit decisions. techniques in aggregate productivity. Our approach in turn delivers new insights toward isolating Our approach in turn delivers new insights toward isolating the causes and the consequences of misallocation in techniques from that of misallocation in capital.

resource misallocation on the economy’s aggregate variables within a standard one-sector neoclas- sical growth model in which output is carried out by heterogeneous rms subject to a progressive tax policy a la Guo and Lansing (1998) together with endogenous entry and exit decisions. TFP & Resource Misallocation Total Factor Productivity & Resource Misallocation A Literature Review by Jie Cao . TFP & Resource Misallocation – A Literature Review 2 Agenda -The Big Picture – Economic Growth o The Facts to Be Explained o A Framework for Analysis o The Current Consensus -Zoom In – TFP / Misallocation o Decompose TFP o Efficiency o Resource Misallocation -My …

Jang-Ting Guo & Yutaro Izumi & Yi-Chan Tsai, 2015. "Resource Misallocation and Aggregate Productivity under Progressive Taxation," Working Papers 201502, University of California at Riverside, Department of Economics. that misallocation can be responsible for signi cant aggregate GDP losses.3 Within this literature, some papers are interested in understanding the consequences of nan- cial crises on output and productivity (see, for example, Benjamin and Meza (2009),

capital and labor lowers aggregate productivity and s the returns to factorsdistort (Hsieh and Klenow, 2009; Restuccia and Rogerson, 2008). The empirical evidence for Mexico summarized below shows that misallocation is very Finance and Misallocation: Evidence from Plant-Level Data Virgiliu Midrigan Daniel Yi Xuy New York University New York University October 2010 Abstract We study a model of establishment dynamics in which entrepreneurs face a nancing constraint. We ask: does the model, when parameterized to match salient features of plant-level data, predict large aggregate TFP losses from misallocation? Our

Productivity Losses from Financial Frictions: Can Self-Financing Undo Capital Misallocation? † effect of financial frictions on capital misallocation and aggregate productivity. My economy is isomorphic to a Solow model but with time-varying TFP. I argue that the persistence of idiosyncratic pro- ductivity shocks determines both the size of steady-state produc-tivity losses and the speed Misallocation, Selection and Productivity: A Quantitative Analysis with Panel Data from China This is a National Bureau of Economic Research Paper. NBER charges a fee of $5.00 for this paper.

Identifying Capital Misallocation Zheng (Michael) Songy Guiying Laura Wuz This version: January 2015 Abstract Resource misallocation lowers aggregate productive e¢ ciency. Productivity Losses from Financial Frictions: Can Self-Financing Undo Capital Misallocation? † effect of financial frictions on capital misallocation and aggregate productivity. My economy is isomorphic to a Solow model but with time-varying TFP. I argue that the persistence of idiosyncratic pro- ductivity shocks determines both the size of steady-state produc-tivity losses and the speed

16I036 Trade, Misallocation and Growth Trade, Misallocation and Growth 1 Overview and Objectives The students will learn theoretical tools related to trade, growth and development to rigorously analyze important topics in macroeconomics. In particular, the students will become familiar with the frontier research on growth, with special emphasis on papers analyzing the evolution of productivity If misallocation had remained at its 1995 level, in 2013 Italy’s aggregate productivity would have been 18% higher than its actual level. Misallocation has mainly risen within sectors than between them, increasing more in sectors where the world technological frontier has expanded faster. Relative specialization in those sectors explains the patterns of misallocation across geographical

First, we assess the e ect of misallocation on aggregate productivity by eliminating all distortions. This counterfactual generates a large 13.8-fold increase in agricultural labor productivity; a signi - The misallocation of production factors, with structural misallocation as an important aspect, is a key instigator of low total factor productivity (TFP) growth rate in China, but one important

Identifying Capital Misallocation Zheng (Michael) Songy Guiying Laura Wuz This version: January 2015 Abstract Resource misallocation lowers aggregate productive eВў ciency. Misallocation and Aggregate Productivity across Time and Space Diego Restuccia University of Toronto and NBER State of the Art Lecture Canadian Economic Association

Ashique Habib Misallocation and Financial Market Distortions: Some Direct Evidence from the Dispersion of Borrowing Costs. Brief Literature Review: Some recent papers: Evidence of large losses: Amaral and Quintin (2010) and Greenwood et al (2010) suggest a large portion of TFP di erences across countries can be atributed to imperfect nancial markets (50% to 80%). Evidence of small losses INFORMATION, MISALLOCATION AND AGGREGATE PRODUCTIVITY Joel M. David Hugo A. Hopenhayn Venky Venkateswaran August 25, 2015 We propose a theory linking imperfect information to …