European Parliament Library

Development Accounting and the Rise of TFP, Reda Cherif, Rabah Arezki

The paper presents evidence that the contribution of differences in total factor productivity (TFP) to income differences across countries steadily increased between 1970 and 2000. We verify that our finding is neither imputable to measurement errors in input factors nor dependent on the assumption of factor neutral differences in technology. We conclude that theories explaining cross-country income differences based on institutions or on forces that are constant over time, such as geography or legal origin, should be reconsidered in the light of their consistency with the rise of the explanatory power of TFP
Table Of Contents
Cover Page; Title Page; Copyright Page; Contents; I. Introduction; II. Measuring Our Ignorance Through Time; A. Benchmark; B. Data; C. Measuring Our Ignorance; III. Results; Basic Results; Figure 1. The Evolution of the Success Indicators Following Caselli (2005); Figure 2. The Evolution of the Success Indicators Following Hall and Jones (1999); The Decomposition of the Success Indicators; Figure 3. The Decomposition of the Success Indicators; Figure 4. The Variance of the Factors as a Share of their Value in 1970; Robustness Check for the Changing Sample; OECD vs. non-OECD
Literary Form
non fiction
Description based upon print version of record
Physical Description
1 online resource (45 p.)
Specific Material Designation
Form Of Item

Library Locations

  • EP Library Brussels

    60 rue Wiertz, Brussels, B-1047, BE
  • EP Library Luxembourg

    Rue du Fort Thüngen, Luxembourg, L-1313, LU
  • EP Library Strasbourg

    7 Place Adrien Zeller, Allée du Printemps, Strasbourg, F-67070, FR