By Carmen Pagés (eds.)
Age of productiveness deals a glance at how the low productiveness in Latin the USA and the Caribbean is fighting the zone from catching up with the constructed global. The authors glance past the conventional macro reasons and dig right down to the and enterprise point to discover the causes.
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Additional resources for The Age of Productivity: Transforming Economies from the Bottom Up
For the region as a whole, TFP is about 55 percent. 6 Cumulative Productivity Catching Up around the World, 1960–2005 Cumulative growth relative to the United States (percent) Ϫ80 Ϫ40 0 40 80 120 160 Cumulative growth relative to the United States (percent) 200 Ϫ80 Ϫ40 Cumulative growth relative to the United States (percent) Ϫ80 Ϫ40 Turkey Canada Zambia Benin South Africa Dominican Republic Fiji Netherlands Malawi Ecuador New Zealand Uruguay Mozambique Bolivia Colombia Syria Sierra Leone Cameroon Peru 0 40 80 120 160 200 Chile Germany Norway France Lesotho Israel United Kingdom Spain Australia Sweden Denmark Pakistan Mali United States Portugal Panama Indonesia Brazil China Hong Kong Hungary Ghana Sri Lanka Singapore Thailand Ireland Japan Tunisia Republic of Korea Austria Papua New Guinea Belgium Egypt Malaysia Italy Finland India Greece 0 40 80 120 160 200 Cumulative growth relative to the United States (percent) Ϫ80 Ϫ40 0 40 80 120 160 200 Jamaica Philippines Kenya Mexico Uganda Algeria Argentina Costa Rica Paraguay Nepal Iran El Salvador Senegal Venezuela Honduras Togo Nicaragua Niger Jordan Source: Authors’ calculations based on Heston, Summers, and Aten (2006), World Bank (2008), and Barro and Lee (2000).
Thus, the preferred measure of TFP is a productivity measure that is not contaminated by the evolution of factor inputs. 1 This measure of productivity includes a technological component and tends to increase as the technological frontier expands and new technology or ideas become available and are adopted, but it is also affected by the efficiency with which markets work and are served by public services. An economy populated by technologically advanced firms may still produce inefficient aggregate results and AGGREGATE PRODUCTIVITY 27 this will therefore translate into low aggregate productivity.
Trade and transport infrastructure policy Generate conditions to promote port and airport efficiency. Create competition when possible (open markets, seas and skies to all). Promote consultation and coordination of service suppliers to exploit economies of scale and complementarities. Eliminate customs inefficiencies. Financial policy Make productivity an objective of the state. Facilitate the use of a good credit-andguarantee reputation to access credit. Make property and company registries more flexible and cheaper.