nep-eff New Economics Papers
on Efficiency and Productivity
Issue of 2015‒02‒11
33 papers chosen by
Angelo Zago
Università degli Studi di Verona

  1. Cost Decompositions and the Efficient Subset By Rolf Färe; Hirofumi Fukuyama; Shawna Grosskopf; Valentin Zelenyuk
  2. Relaxing credit constraints in emerging economies: the impact of public loans on the performance of Brazilian manufacturers By Philip Lage de Sousa; Gianmarco I. P. Ottaviano
  3. Internationalization and innovation of firms: evidence and policy By Carlo Altomonte; Tommaso Aquilante; Gábor Békés; Gianmarco I. P. Ottaviano
  4. Productivity dynamics in the Great Stagnation: evidence from British businesses By Rebecca Riley; Chiara Rosazza Bondibene; Garry Young
  5. Productivity and export market participation: evidence from Colombia By Diez, Federico J.; Casas, Camila; Gonzalez, Alejandra; Moreno, Stefany
  6. Managing the family firm: evidence from CEOs at work By Oriana Bandiera; Raffaella Sadun
  7. Making do with less: working harder during recessions By Edward P. Lazear; Kathryn L. Shaw; Christopher Stanton
  8. Study on growth / conservation economic efficiency of production plant growth arrangements regarding environmental performance By Ursu, Ana
  9. Sector-level tests of the feasibility of green growth: Carbon intensity versus economic and productivity growth indicators By Ardjan Gazheli; Miklós Antal; Jeroen van den Bergh
  10. Identifying technology spillovers and product market rivalry By Nick Bloom; Mark Schankerman; John Van Reenen
  11. The system of indicators of estimation the economic efficiency in the production of goat milk By Chetroiu, Rodica; Calin, Ion
  12. Performance-Based Typology Of Universities: Evidence From Russia By Irina V. Abankina; Fuad T. Aleskerov; Veronika Yu. Belousova; Leonid M. Gokhberg; Kirill V. Zinkovsky; Sofya G. Kiselgof; Vsevolod Petrushchenko; Sergey V. Shvydun
  13. Technical-economic analysis of a family farm. Case study – Gheraseni Parish, Buzau county By Turek Rahoveanu, Petruta
  14. The new empirical economics of management By Nicholas Bloom; Raffaella Sadun; Renata Lemos; Daniela Scur; John Van Reenen
  15. Increasing Productivity Growth in Middle Income Countries By Aidar Abdychev; La-Bhus Fah Jirasavetakul; Andrew W Jonelis; Lamin Leigh; Ashwin Moheeput; Friska Parulian; Ara Stepanyan; Albert Touna Mama
  16. Do temporary agency workers affect workplace performance? By Alex Bryson
  17. Why is Pollution from U.S. Manufacturing Declining? The Roles of Trade, Regulation, Productivity, and Preferences By Shapiro, Joseph S.; Walker, Reed
  18. Who lends to riskier and lower-profitability firms? Evidence from the syndicated loan market By Iosifidi, Maria; Kokas, Sotirios
  19. Management practices and the quality of care in cardiac units By K. John McConnell; Richard C. Lindrooth; Douglas R. Wholey; Thomas M. Maddox; Nicholas Bloom
  20. Performance pay: trends and consequences introduction By Keith A. Bender; Alex Bryson
  21. Revisiting German labour market reform effects : a panel data analysis for occupational labour markets By Stops, Michael
  22. Assessing bank competition for consumer loans By Wilko Bolt; David Humphrey
  23. sftfe: A Stata command for fixed-effects stochastic frontier models estimation By Federico Belotti; Giuseppe Ilardi
  24. Cost function estimation of multi-service firms. Evidence from the passenger transport industry By Graziano Abrate; Fabrizio Erbetta; Giovanni Fraquelli; Davide Vannoni
  25. Offshoring of Medium-skill Jobs, Polarization, and Productivity Effect: Implications for Wages and Low-skill Unemployment By Vallizadeh, Ehsan; Muysken, Joan; Ziesemer, Thomas
  26. Changes in the Effect of Capital and TFP on Output in Penn World Tables 7 and 8: Improvement or Error? By Theodore R. Breton
  27. Corporate Governance, Innovation and Firm Age: Insights and New Evidence By Stefano Bianchini; Jackie Krafft; Francesco Quatraro; Jacques Ravix
  28. Economic Development: Is Social Capital Persistent?. By Rakesh Gupta N.R.
  29. Tourism Destination Competitiveness: Measurement Issues By Mendola Daria; Serena Volo
  30. Cost-utility of cognitive behavioral therapy versus U.S. Food and Drug Administration recommended drugs and usual care in the treatment of patients with fibromyalgia: an economic evaluation alongside a 6-month randomized controlled trial By Juan V. Luciano; Francesco D’Amico; Marta Cerdà-Lafont; María T. Peñarrubia-María; Martin Knapp; Antonio I. Cuesta-Vargas; Antoni Serrano-Blanco; Javier García-Campayo
  31. The Latin American efficiency gap By Francesco Caselli
  32. The Regional Impact of Bilateral Investment Treaties on Foreign Direct Investment By Arjan Lejour; Maria Salfi
  33. Local government cooperation at work : A control function approach By Zineb Abidi; Edoardo di Porto; Angela Parenti; Sonia Paty

  1. By: Rolf Färe (Oregon State University, USA); Hirofumi Fukuyama (Fukuoka University, Japan); Shawna Grosskopf (Oregon State University, USA); Valentin Zelenyuk (School of Economics, The University of Queensland)
    Abstract: This paper develops two cost decompositions based on the multiplicative and additive Russell efficiency measurement framework. While the multiplicative cost decomposition is a straightforward extension of the standard cost decomposition, the decomposition we develop in this paper incorporates slacks directly so that efficiency is measured relative to the efficient subset. To show the applicability of our novel approach, we provide an illustration using a data set given in the literature.
    Keywords: cost efficiency; efficient subset,Russell measure,directional distance function,slacks,data envelopment analysis
    JEL: D24
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:qld:uqcepa:99&r=eff
  2. By: Philip Lage de Sousa; Gianmarco I. P. Ottaviano
    Abstract: Especially in developing countries credit constraints are often perceived as one of the most important market frictions constraining firm innovation and growth. Huge amounts of public money are being devoted to the removal of such constraints but their effectiveness is still subject to an intense policy debate. This paper contributes to this debate by analysing the effects of the Brazilian Development Bank (BNDES) loans. It finds that, before receiving BNDES support, granted firms are indeed more credit constrained than comparable non-granted firms. It also finds that BNDES support allows granted firms to achieve the same level of performance as similar non-granted firms that are not credit constrained. However, it does not allow granted firms to outperform similar non-granted ones.
    Keywords: Heterogeneous firms; productivity; public policy analysis; credit constraints
    JEL: H00 O38
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:60529&r=eff
  3. By: Carlo Altomonte; Tommaso Aquilante; Gábor Békés; Gianmarco I. P. Ottaviano
    Abstract: We use a representative and cross-country comparable sample of manufacturing firms (EFIGE) to document patterns of interaction among firm-level internationalization, innovation and productivity across seven European countries (Austria, France, Germany, Hungary, Italy, Spain, United Kingdom). We find strong evidence of positive association among the three firm-level characteristics across countries and sectors. We also find that the positive correlation between internationalization and innovation survives after controlling for productivity, with some evidence of causality running from the latter to the former. Our analysis suggests that export promotion per se is unlikely to lead to sustainable internationalization because internationalization goes beyond export and because, in the medium to long term, internationalization is likely driven by innovation. We recommend coordination and integration of internationalization and innovation policies 'under one roof' at both the national and EU levels, and propose a bigger coordinating role for EU institutions.
    Keywords: economic integration; European Union; export; globalization; industrial enterprise; industrial policy; innovation; manufacturing; sustainable development
    JEL: R14 J01
    Date: 2013–10
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:54877&r=eff
  4. By: Rebecca Riley; Chiara Rosazza Bondibene; Garry Young
    Abstract: We investigate labor productivity dynamics amongst British businesses in the wake of the credit crisis of 2007/8. The external restructuring of firms (i.e. changes in market share, firm entry and exit) contributed to a fall in productivity growth relative to trend amongst small businesses in bank dependent industries, consistent with the idea that an adverse credit supply shock caused inefficiencies in resource allocation across firms. But, the major part of the decline in UK productivity growth following the credit crisis was accounted for by a widespread productivity shock within firms, pointing to the importance of other factors in explaining the Great Stagnation.
    Keywords: productivity growth; reallocation; Great Recession and Stagnation; credit shock
    JEL: E32 L11 O47
    Date: 2014–05
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:58108&r=eff
  5. By: Diez, Federico J. (Federal Reserve Bank of Boston); Casas, Camila (Banco de la Republica); Gonzalez, Alejandra (Banco de la Republica); Moreno, Stefany (Banco de la Republica)
    Abstract: Using evidence from Colombia, the authors study the relationship between firms' productivity and their export market participation decisions. Understanding the link between these two variables is critical for the study and design of policies aimed at achieving high and sustainable economic growth in the long run.
    Keywords: productivity; exporters; productivity premium; openness
    JEL: F14 L22 L60
    Date: 2015–02–03
    URL: http://d.repec.org/n?u=RePEc:fip:fedbwp:14-14&r=eff
  6. By: Oriana Bandiera; Raffaella Sadun
    Abstract: CEOs affect the performance of the firms they manage, and family CEOs seem to weaken it. Yet little is known about what top executives actually do, and whether it differs by firm ownership. We study CEOs in the Indian manufacturing sector, where family ownership is widespread and the productivity dispersion across firms is substantial. Time use analysis of 356 CEOs of listed firms yields three sets of findings. First, there is substantial variation in the number of hours CEOs devote to work activities, and longer working hours are associated with higher firm productivity, growth, profitability and CEO pay. Second, family CEOs record 8% fewer working hours relative to professional CEOs. The difference in hours worked is more pronounced in low competition environments and does not seem to be explained by measurement error. Third, difference in diffrences estimates with respect to the cost of effort, due to weather shocks and popular sport events, reveal that the observed difference between family and professional CEOs is consistent with heterogeneous preferences for work versus leisure. Evidence from six other countries reveals similar findings in economies at different stages of development.
    JEL: J1
    Date: 2013–12–03
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:58162&r=eff
  7. By: Edward P. Lazear; Kathryn L. Shaw; Christopher Stanton
    Abstract: Why did productivity rise during recent recessions? One possibility is that average worker quality increased. A second is that each incumbent worker produced more. The second effect is termed “making do with less.” Using data from 2006 to 2010 on individual worker productivity from a large firm, these effects can be measured and separated. For this firm, most of the gain in productivity during the recession was a result of increased effort. Additionally, the increase in effort is correlated with the increase in the local unemployment rate, presumably reflecting the costs of losing a job.
    JEL: N0 R14 J01 J50
    Date: 2014–06–05
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:59066&r=eff
  8. By: Ursu, Ana
    Abstract: The study aimed to identify growth prospects / preservation of economic efficiency in terms of interventions to increase performance and in shaping the directions in which this objective can be. For the study started from two methodological premises: vegetable production systems design adapted plains, different shapes and sizes, which were performed simulating economic efficiency indicators for 2011-2014; second methodological premise was to identify needs for intervention and funding by increasing economic efficiency. After analyzing the efficiency and SWOT analysis concluded that modules are designed viable farm, while the yields observed scheduled and have the ability to invest in modern agricultural techniques to increase environmental performance. Under RDP 2014-2020, have been identified four priority areas of intervention: competitiveness of agricultural holdings, organization of food chains, agri-climate.
    Keywords: economic efficiency, environmental performance, holdings
    JEL: D24 O44 P47 P52 Q12
    Date: 2014–11–20
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:61778&r=eff
  9. By: Ardjan Gazheli; Miklós Antal; Jeroen van den Bergh
    Abstract: In this paper we present a sector-based approach to investigate whether green growth – combining economic growth with environmental sustainability – is feasible. Our approach considers the relation between on the one hand carbon dioxide emissions per dollar of output (what we will call carbon intensity) and on the other growth in economic output and labor productivity, at the level of production sectors. Carbon intensity (CI) is calculated in two ways: as direct CO2 emissions from each sector, which can be seen to immediately result from the processes in the respective sector; and as total, direct plus indirect, emissions, by using environmentally-extended input-output tables. The analysis covers Denmark, Germany and Spain for the period 1995-2007. We calculate correlations over time between sectoral CIs and a range of economic indicators: sectoral total and relative output, final demand, value added, and so-called output and valued-added productivity indicators, and their change. The findings are similar for the two types of CI indicators. The bad news for green growth is that relatively clean sectors do not seem to be more productive than dirtier ones, and neither show higher productivity growth. Sectors associated with high carbon intensity grew more in absolute terms than those with low carbon intensity. The share of these sectors increased suggesting that green growth requires a very rapid pace of decarbonization, or the economy as a whole to shrink. Longer-term sectoral growth on the other hand, as expressed by a change in value added, does not seem to be positively correlated with carbon intensity.
    Keywords: CO2 emissions, Climate change, Green growth, Labor productivity, Production sectors, World Input-output Database
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:feu:wfewop:y:2015:m:1:d:0:i:81&r=eff
  10. By: Nick Bloom; Mark Schankerman; John Van Reenen
    Abstract: The impact of R&D on growth through spillovers has been a major topic of economic research over the last thirty years. A central problem in the literature is that firm performance is affected by two countervailing "spillovers" : a positive effect from technology (knowledge) spillovers and a negative business stealing effects from product market rivals. We develop a general framework incorporating these two types of spillovers and implement this model using measures of a firm's position in technology space and productmarket space. Using panel data on U.S. firms, we show that technology spillovers quantitatively dominate, so that the gross social returns to R&D are at least twice as high as the private returns. We identify the causal effect of R&D spillovers by using changes in federal and state tax incentives for R&D. We also find that smaller firms generate lower social returns to R&D because they operate more in technological niches. Finally, we detail the desirable properties of an ideal spillover measure and how existing approaches, including our new Mahalanobis measure, compare to these criteria.
    Keywords: market value; patents; productivity; R&D; spillovers
    JEL: O31 O33 O32 L1 F23
    Date: 2013–07–17
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:46852&r=eff
  11. By: Chetroiu, Rodica; Calin, Ion
    Abstract: The analysis of economic efficiency is the main method of economic systems analysis. This concept is the most important qualitative indicator of the economic development, essential factor in accelerating the economic growth and is also one of the criteria for scientific substantiation of decisions. Applied in the milk production domain, represents the obtaining of maximum quantity of milk per animal, with minimal expenditure of manpower and materials. Regarding determining the economic efficiency of goat milk production, the most used indicators are: total physical production, average production, value of total production (total revenue), production costs, material costs, cost per unit, profit, rate of return, breakeven point etc. The paper presents the calculation method of indicators and their average values for 2014.
    Keywords: economic efficiency, indicators, milk, goat, rate of return
    JEL: B49 M11 P59 Q12
    Date: 2014–11–20
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:61773&r=eff
  12. By: Irina V. Abankina (National Research University Higher School of Economics); Fuad T. Aleskerov (National Research University Higher School of Economics); Veronika Yu. Belousova (National Research University Higher School of Economics); Leonid M. Gokhberg (National Research University Higher School of Economics); Kirill V. Zinkovsky (National Research University Higher School of Economics); Sofya G. Kiselgof (National Research University Higher School of Economics); Vsevolod Petrushchenko (National Research University Higher School of Economics); Sergey V. Shvydun (National Research University Higher School of Economics)
    Abstract: In recent decades increased economic pressure and growing expectations of the society have led to a shift to performance-based funding modes of public research, namely universities, introduced by the government. In this respect universities started to use various strategies to adapt and develop their activities under the new framework conditions. National governments currently attempt to design and apply various taxonomies for structuring the university infrastructure in all different shapes in order to facilitate the development of efficient programmes for the advancement of higher education. The paper provides a review of different approaches to university typologies, discusses the choice of indicators and mathematical tools for grouping universities using common criteria and evaluating their performance based on classical and modified DEA approaches. The authors developed a typology which was tested in the Russian context, taking into account indicators of research and educational activities implemented by domestic universities and their efficiency score. The typology is based on clustering universities by availability of resources and research and educational performance and the combination of these results with efficiency score. It does not only group universities by type but includes a decision tree for classifying them as members of a specific group keeping into account their heterogeneity. It may serve as a basis for content analysis of the wide range of universities, and for shaping targeted policies aimed at their particular groups.
    Keywords: higher education institutions (HEIs), typology, research and educational activities of HEIs, hierarchical clustering, data envelopment analysis, efficiency, performance
    JEL: C14 C38 D83 O32
    Date: 2015
    URL: http://d.repec.org/n?u=RePEc:hig:wpaper:33sti2015&r=eff
  13. By: Turek Rahoveanu, Petruta
    Abstract: In Romania, family farms strenghten agriculture stability wise through structural changes in multifunctional development, merchandising of vegetable products, making investments and depositing products. The family farms production structure was formed under factors like: natural environment, market, financial capital, the risk and uncertainty related to selling products, consumption. At the same time it’s considered to be the central element of the agricultural structures and it’s regarded in independence with the elements that contribute in obtaining agricultural products.
    Keywords: production structure, agricultural production, work productivity
    JEL: Q10 Q12 R11
    Date: 2014–11–20
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:61745&r=eff
  14. By: Nicholas Bloom; Raffaella Sadun; Renata Lemos; Daniela Scur; John Van Reenen
    Abstract: Over the last decade the World Management Survey (WMS) has collected firm-level management practices data across multiple sectors and countries. We developed the survey to try to explain the large and persistent TFP differences across firms and countries. This review paper discusses what has been learned empirically and theoretically from the WMS and other recent work on management practices. Our preliminary results suggest that about a quarter of cross-country and within-country TFP gaps can be accounted for by management practices. Management seems to matter both qualitatively and quantitatively. Competition, governance, human capital and informational frictions help account for the variation in management. We make some suggestions for both policy and future research.
    Keywords: management; organization; productivity
    JEL: J1
    Date: 2014–04
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:58009&r=eff
  15. By: Aidar Abdychev; La-Bhus Fah Jirasavetakul; Andrew W Jonelis; Lamin Leigh; Ashwin Moheeput; Friska Parulian; Ara Stepanyan; Albert Touna Mama
    Abstract: Many small middle-income countries (SMICs) in sub-Saharan Africa (SSA) have experienced a moderation in growth in recent years. Although factor accumulation, most notably capital deepening, was crucial to the success of many SMICs historically, this growth model appears to have run its course. The analysis in this paper suggests that the decline in the contribution of total factor productivity (TFP) to growth is largely responsible for the slowdown in trend growth in many SMICs, which highlights the need for policy actions to reinvigorate productivity growth. This paper explores the question of what kind of structural policies could boost productivity growth in SMICs and the political economy factors that may be contributing to the slow implementation of these critical reforms in these countries. The findings suggest that although macroeconomic stability and trade openness are necessary for productivity growth, they are not sufficient. SMICs need to improve the quality of their public spending, most notably in education to minimize the skill mismatch in the labor market, reduce the regulatory burden on firms, improve access to finance by small and medium-sized enterprises and create the enabling environment to facilitate structural transformation in these economies.
    Keywords: Total factor productivity;Sub-Saharan Africa;Economic growth;Fiscal reforms;Education;Labor markets;Cross country analysis;Growth, Productivity, potential growth
    Date: 2015–01–13
    URL: http://d.repec.org/n?u=RePEc:imf:imfwpa:15/2&r=eff
  16. By: Alex Bryson
    Abstract: Using nationally representative workplace data we find the use of temporary agency workers (TAW) is positively associated with financial performance in the British private sector and weakly associated with higher sales per employee. However TAW is not associated with value added per employee. Employees in workplaces with TAW receive higher wages than observationally equivalent employees in non-TAW workplaces. But the presence of TAW in the employee’s occupation is associated with lower wages for employees in that occupation. Furthermore, conditioning on wages, the presence of TAW at the workplace is associated with lower job satisfaction and higher job anxiety among employees. These findings are consistent with TAW having an adverse effect on employees’ experiences at work, perhaps due a more labour intensive regime, one which is only partly compensated for with higher wages.
    Keywords: temporary agency workers; labour productivity; financial performance; worker wellbeing
    JEL: J50 L22 L23 L24
    Date: 2013–04
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:45610&r=eff
  17. By: Shapiro, Joseph S. (Yale University); Walker, Reed (University of California, Berkeley)
    Abstract: Between 1990 and 2008, emissions of the most common air pollutants from U.S. manufacturing fell by 60 percent, even as real U.S. manufacturing output grew substantially. This paper develops a quantitative model to explain how changes in trade, environmental regulation, productivity, and consumer preferences have contributed to these reductions in pollution emissions. We estimate the model's key parameters using administrative data on plant-level production and pollution decisions. We then combine these estimates with detailed historical data to provide a model-driven decomposition of the causes of the observed pollution changes. Finally, we compare the model-driven decomposition to a statistical decomposition. The model and data suggest three findings. First, the fall in pollution emissions is due to decreasing pollution per unit output within narrowly defined products, rather than to changes in the types of products produced or changes to the total quantity of manufacturing output. Second, the implicit pollution tax that rationalizes firm production and abatement behavior more than doubled between 1990 and 2008. Third, environmental regulation explains 75 percent or more of the observed reduction in pollution emissions from manufacturing.
    Keywords: environmental regulation, air quality, trade and environment
    JEL: F18 H23 Q56
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp8789&r=eff
  18. By: Iosifidi, Maria; Kokas, Sotirios
    Abstract: This paper exploits a unique data set on bank-firm relationships based on syndicated loan deals to examine the effect of banks’ credit risk and capital on firms’ risk and performance. Our data set is a multilevel cross-section, which essentially allows controlling for all bank and firm characteristics through respective fixed effects, thus avoiding concerns regarding omitted variables. We find that banks with higher credit risk are associated with more risky firms, with lower profitability and market value. In turn, we find that banks with higher risk-weighted capital ratios lend to riskier firms with less market value. Our results are indicative of a strong adverse selection mechanism and highlight the need to monitor the risky banks more closely, especially as we consider large and influential syndicated loan deals.
    Keywords: Bank-firm relationships; Risk; Performance; Syndicated loans
    JEL: G20 G21 G30 G32
    Date: 2015
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:61942&r=eff
  19. By: K. John McConnell; Richard C. Lindrooth; Douglas R. Wholey; Thomas M. Maddox; Nicholas Bloom
    Abstract: Importance:- To improve the quality of health care, many researchers have suggested that health care institutions adopt management approaches that have been successful in the manufacturing and technology sectors. However, relatively little information exists about how these practices are disseminated in hospitals and whether they are associated with better performance. Objectives:- To describe the variation in management practices among a large sample of hospital cardiac care units; assess association of these practices with processes of care, readmissions, and mortality for patients with acute myocardial infarction (AMI); and suggest specific directions for the testing and dissemination of health care management approaches. Design:- We adapted an approach used to measure management and organizational practices in manufacturing to collect management data on cardiac units. We scored performance in 18 practices using the following 4 dimensions: standardizing care, tracking of key performance indicators, setting targets, and incentivizing employees. We used multivariate analyses to assess the relationship of management practices with process-of-care measures, 30-day risk-adjusted mortality, and 30-day readmissions for acute myocardial infarction (AMI). Setting:- Cardiac units in US hospitals. Participants_ Five hundred ninety-seven cardiac units, representing 51.5% of hospitals with interventional cardiac catheterization laboratories and at least 25 annual AMI discharges. Main Outcome Measures:- Process-of-care measures, 30-day risk-adjusted mortality, and 30-day readmissions for AMI. Results:- We found a wide distribution in management practices, with fewer than 20% of hospitals scoring a 4 or a 5 (best practice) on more than 9 measures. In multivariate analyses, management practices were significantly correlated with mortality (P = .01) and 6 of 6 process measures (P < .05). No statistically significant association was found between management and 30-day readmissions. Conclusions and Relevance:- The use of management practices adopted from manufacturing sectors is associated with higher process-of-care measures and lower 30-day AMI mortality. Given the wide differences in management practices across hospitals, dissemination of these practices may be beneficial in achieving high-quality outcomes. Interest in quality improvement in health care during the past 10 years has been associated with a handful of important successes.1- 3 However, improvements in the quality of care have been slower than many would have hoped for,4- 8 and quality is still highly variable across organizations.9 Although significant effort has been focused on the use of evidence-based medicine—clinical practices that lead to better care—an interest in organizational strategies and management practices that enable and incentivize high-quality health care is emerging.10- 15 One of the most active areas of interest is in the use of management practices with origins in manufacturing, including, for example, “Lean” methodologies developed at Toyota16 or the use of balanced scorecard approaches that originated in the technology sector.17 These management approaches can be characterized as a set of formalized tools, the use of which is intended to improve quality through multiple pathways, such as eliminating inefficient and variable practices; engaging providers in a collaborative, team-based approach; and structuring mechanisms for setting targets and tracking progress. However, the evidence on the potential effectiveness of these approaches in health care is relatively weak13,18 and consists primarily of single-site studies.19- 21 To address this gap in knowledge, we present a new framework and instrument for defining key management dimensions and for measuring them on a large scale in health care organizations. We describe the variation in management practices among a large sample of hospitals; assess its association with processes of care, readmissions, and mortality for patients with acute myocardial infarction (AMI); and suggest specific directions for the testing and dissemination of health care management approaches.
    JEL: J50
    Date: 2013–04–22
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:59336&r=eff
  20. By: Keith A. Bender; Alex Bryson
    Abstract: From First Principles, one of the key implications of standard labour economic theory is that workers should be paid their marginal product. Pay that is tied to a worker’s performance, therefore, would seem to provide the most direct link to satisfy this theoretical requirement (Lazear, 1986). Indeed, there is ample evidence that indicates that implementing pay for performance increases productivity through a combination of increased incentives for high productivity and incentives for highly productive workers to sort themselves into these types of jobs (e.g., Lazear, 2000; Haley, 2003; Gielen et al., 2010; Jones et al., 2010 and Bryson et al., 2013). Because of these potentially beneficial attributes of performance-related pay, much research has been devoted to identifying how widespread the pay practice is compared with other methods of compensation, how it has changed over time, how it is viewed by different labour market actors and whether it correlates (positively or negatively) with other labour market outcomes, as well as a host of other research questions.
    JEL: N0 R14 J01
    Date: 2013–11
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:56968&r=eff
  21. By: Stops, Michael (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])
    Abstract: "There is an ongoing discussion that centres on the German labour market reforms (2003- 2005) and the role of these reforms in boosting the German economy. Considering that one of the main objectives of the reforms was to improve the matching process on the labour market, I use rich, high-frequency, and recent administrative panel data to present new details regarding the development of job-matching performance before and after the reform years. The results show that matching productivity increased during all reform stages and slightly deteriorated in 2009 (the year of the financial crisis), even after controlling for the recession. Furthermore, increases in matching productivity have become smaller in recent years. Beyond these findings, the results show detailed differences in the changes in matching productivity on occupational labour markets." (Author's abstract, IAB-Doku) ((en))
    JEL: C23 J44 J64
    Date: 2015–01–15
    URL: http://d.repec.org/n?u=RePEc:iab:iabdpa:201502&r=eff
  22. By: Wilko Bolt; David Humphrey
    Abstract: We assess the competitiveness of the $400 billion dollar U.S. bank consumer loan market by comparing results from different competition measures-HHI, Lerner Index, H-Statistic along with three others, two of which are related to frontier analysis. These measures are typically weakly related to one another and only half of them identify banks with the highest loan price and spread as also being the least competitive. This is the opposite of what would be expected. The states where the most and least competitive banks are located are noted. The most populous states with the largest banks are underrepresented.
    Keywords: consumer loans; bank competition; frontier analysis
    JEL: G21 L80 L00
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:dnb:dnbwpp:457&r=eff
  23. By: Federico Belotti (CEIS, University of Rome Tor Vergata); Giuseppe Ilardi (Bank of Italy)
    Abstract: The classical stochastic frontier panel-data models provide no mechanism to disentangle individual time-invariant unobserved heterogeneity from inefficiency. Greene (2005a,b) proposed the so-called true fixed-effects specification that distinguishes these two latent components and allows for time-varying inefficiency. However, because of the incidental parameters problem, the maximum likelihood estimator proposed by Greene leads to biased variance estimates in short panels. sftfe allows the estimation of this model via three alternative estimators (Belotti and Ilardi 2012; Chen et al. 2014), which by relying on data transformation, achieve consistency for n ! 1 with fixed T. Of special note is that sftfe allows the underlying mean and variance of the inefficiency to be expressed as functions of exogenous covariates. Furthermore, the new command allows the estimation of a "true" fixed-effects model in which the inefficiency is assumed to follow a first-order autoregressive process. These features can be considered relevant from the methodological point of view because both model parameters and inefficiency estimates may be adversely affected when inefficiency heterogeneity, heteroskedasticity, and serial correlation are neglected. They are also important empirically because they allow for testing specific hypotheses of interest and policy implications and avoid biased two-step procedures.
    Date: 2014–11–13
    URL: http://d.repec.org/n?u=RePEc:boc:isug14:05&r=eff
  24. By: Graziano Abrate; Fabrizio Erbetta; Giovanni Fraquelli; Davide Vannoni
    Abstract: In this paper, using a sample of Italian passenger transport firms, we compare the estimates from a Composite Cost Function econometric model (Pulley and Braunstein, 1992) with the ones coming from other traditional functional forms such as the Standard Translog, the Generalized Translog, and the Separable Quadratic. The results highlight the presence of global scope and scale economies only for multi-service firms (providing urban, intercity and for-hire bus transport services) with output levels lower than the ones characterising the ‘average’ firm. This indicates that relatively small, specialised firms would benefit from cost reductions by evolving into multi-service firms providing urban, intercity and for-hire bus transport. As for the intercity service, the most efficient solution seems the integration with urban operators rather than integrating with for-hire bus services.
    Keywords: Multi-Service Firms, Scope and Scale Economies, Composite Cost Function.
    JEL: L97 L5 L21 C3
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:cca:wpaper:380&r=eff
  25. By: Vallizadeh, Ehsan; Muysken, Joan; Ziesemer, Thomas
    Abstract: We examine the effects of endogenous offshoring on cost-efficiency, wages and unemployment in a task- assignment model with skill heterogeneity. Exact conditions for the following insights are derived. The distributional effect of offshoring (high-) low-skill-intensive tasks is similar to (unskilled-) skill-biased technology changes, while offshoring medium-skill-intensive tasks induces wage polarization. Offshoring improves cost-efficiency through international task reallocation and puts a downward pressure on all wages through domestic skill-task reallocation. If elasticities of task substitution are low (high), the downward pressure on wages in neighboring skill segments is low (high) with a net effect of higher (lower) wages and employment.
    Keywords: Task Assignment, Offshoring, Skills, Cost-efficiency Effect, Equilibrium Unemployment
    JEL: F16 J21 J24 J64
    Date: 2015–02–04
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:61861&r=eff
  26. By: Theodore R. Breton
    Abstract: Lower ICP 2005 construction prices in developing countries increase the effect of capital on output in PWT 7.1 and 8.0 and cause negative world TFP growth during 1990-2010 in PWT 8.0. The investment data appear to be more accurate in PWT 6.3.
    Keywords: Penn World Table; Investment rates; Economic growth
    JEL: O4
    Date: 2015–01–19
    URL: http://d.repec.org/n?u=RePEc:col:000122:012454&r=eff
  27. By: Stefano Bianchini (Sant' Anna School of Advanced Studies; BETA, Université de Strasbourg); Jackie Krafft (Université Nice Sophia Antipolis; GREDEG-CNRS); Francesco Quatraro (Université Nice Sophia Antipolis and GREDEG-CNRS; Collegio Carlo Alberto; Department of Economics and Statistics Cognetti de Martiis, University of Torino); Jacques Ravix (Université Nice Sophia Antipolis; GREDEG-CNRS)
    Abstract: This paper investigates the relationship between corporate governance (CG) and innovation according to firms’ age by combining insights from the recent strand of contributions analysing CG and innovation with the lifecycle literature. We find a negative relationship between CG and innovation which is stronger for young firms than for mature ones. The empirical analysis is carried out on a sample of firms drawn from the ISS Risk Metrics database and observed over the period 2003-2008. The parametric methodology provides results that are consistent with the literature and supports the idea that mature firms are better off than young ones. We check for possible non-linearities by implementing a non-parametric analysis and suggest that the negative relationship between CG and innovation is mostly driven by higher values of CG.
    Keywords: Corporate governance, Age, Lifecycle, Innovation, Non-parametric regression, ISS Risk Metrics
    JEL: G30 L20 L10 O33
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:gre:wpaper:2015-05&r=eff
  28. By: Rakesh Gupta N.R. (Centre d'Economie de la Sorbonne - Paris School of Economics and ESSEC Business School - IRENE-CODEV)
    Abstract: This paper, on the one hand, goes a step closer to demonstrate the causality of social capital on economic performance. On the other hand, we confirm a continued role of social capital effects on economic performance in this paper by using a much larger sample, spanning three decades and increasing the scope of countries. This paper is unique in the sense that it contributes to revisiting questions of economic performance, social capital and institutions with a clearly better and updated dataset from the last 28 years building upon existing empirical evidence. We employ a longitudinal analysis (pooled unbalanced multiple cross-section datasets) with fixed effects in this study. Our sample includes both the World Values Survey and European Values Study dating back to the 1980s. Our results are twofold: Firstly, to confirm that trust has a significant positive effect on growth. And more importantly, they have a significant effect on growth for at least 5 years (for growth at 5, 7 and 10 years following a period of trust measure). Secondly, associational activities – another measure in the overarching definitions of social capital, along with institutions, inequality, and education are consistently significant determinants of trust.
    Keywords: Interpersonal trust, trust, associational activities, social capital, economic development, institutions, inequality.
    JEL: Z13 O11 O43
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:mse:cesdoc:15002&r=eff
  29. By: Mendola Daria (Department of Economics, Business and Statistics (SEAS), University of Palermo); Serena Volo (School of Economics and Management - Free University of Bolzano, Italy.)
    Abstract: Composite indicators are a useful tool to synthetize and monitor multidimensional phenomena and in the last decade they are pervading several domains of tourism studies. This study includes a systematic review of destination competitiveness definitions, concepts and measures and the evaluation of existing composite indicators through the application of an enriched version of the OECD technical guideline to build composite indicators. The results and the knowledge gained through the analysis of the selected indicators provide tourism scholars and practitioners involved in measuring destinations’ competitiveness with both an assessment of available indicators´ ability to capture tourism competitiveness complexity and a statistical toolbox to assess their effectiveness in empirical evaluations.
    Keywords: destination competitiveness, composite indicators, competitiveness determinants, tourism performance, index.
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:bzn:wpaper:bemps23&r=eff
  30. By: Juan V. Luciano; Francesco D’Amico; Marta Cerdà-Lafont; María T. Peñarrubia-María; Martin Knapp; Antonio I. Cuesta-Vargas; Antoni Serrano-Blanco; Javier García-Campayo
    Abstract: Introduction:- Cognitive behavioral therapy (CBT) and U.S. Food and Drug Administration (FDA)-recommended pharmacologic treatments (RPTs; pregabalin, duloxetine, and milnacipran) are effective treatment options for fibromyalgia (FM) syndrome and are currently recommended by clinical guidelines. We compared the cost-utility from the healthcare and societal perspectives of CBT versus RPT (combination of pregabalin + duloxetine) and usual care (TAU) groups in the treatment of FM. Methods:- The economic evaluation was conducted alongside a 6-month, multicenter, randomized, blinded, parallel group, controlled trial. In total, 168 FM patients from 41 general practices in Zaragoza (Spain) were randomized to CBT (n = 57), RPT (n = 56), or TAU (n = 55). The main outcome measures were Quality-Adjusted Life Years (QALYs, assessed by using the EuroQoL-5D questionnaire) and improvements in health-related quality of life (HRQoL, assessed by using EuroQoL-5D visual analogue scale, EQ-VAS). The costs of healthcare use were estimated from patient self-reports (Client Service Receipt Inventory). Cost-utility was assessed by using the net-benefit approach and cost-effectiveness acceptability curves (CEACs). Results:- On average, the total costs per patient in the CBT group (1,847€) were significantly lower than those in patients receiving RPT (3,664€) or TAU (3,124€). Patients receiving CBT reported a higher quality of life (QALYs and EQ-VAS scores); the differences between groups were significant only for EQ-VAS. From a complete case-analysis approach (base case), the point estimates of the cost-effectiveness ratios resulted in dominance for the CBT group in all of the comparisons performed, by using both QALYs and EQ-VAS as outcomes. These findings were confirmed by bootstrap analyses, net-benefit curves, and CEACs. Two additional sensitivity analyses (intention-to-treat analysis and per-protocol analysis) indicated that the results were robust. The comparison of RPT with TAU yielded no clear preference for either treatment when using QALYs, although RPT was determined to be more cost-effective than TAU when evaluating EQ-VAS. Conclusions:- Because of lower costs, CBT is the most cost-effective treatment for adult FM patients. Implementation in routine medical care would require policymakers to develop more-widespread public access to trained and experienced therapists in group-based forms of CBT. Trial registration:- Current Controlled Trials ISRCTN10804772. Registered 29 September 2008.
    JEL: N0
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:60348&r=eff
  31. By: Francesco Caselli
    Abstract: The average Latin American country produces about 1 fifth of the output per worker of the US. What are the sources of these enormous income gaps? I report development-accounting results for Latin America. On average Latin America’s overall physical and human capital endowment relative to the USA is essentially identical to Latin America’s efficiency relative to the USA . In my main sample average relative capital and average relative efficiency are both roughly double actual average relative incomes. Hence, both capital gaps and efficiency gaps are very large: the average Latin American country has less than half the capital (human and physical) per worker of the US, and uses it less than half as efficiently. In assessing this evidence, it is essential to bear in mind that efficiency gaps contribute to income disparity both directly -- as they mean that Latin America gets less out of its capital -- and indirectly -- since much of the capital gap itself is likely due to diminished incentives to invest in equipment, structure, schooling, and health caused by low efficiency. The consequences of closing the efficiency gap would correspondingly be far reaching. Explaining the Latin American efficiency gap is therefore a high priority both for scholars and for policy makers.
    Keywords: Latin America; income gaps; development accounting
    JEL: O11
    Date: 2014–08
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:60358&r=eff
  32. By: Arjan Lejour; Maria Salfi
    Abstract: We examine the impact of bilateral investment treaties (BITs) on bilateral FDI stocks using extensive data from 1985 until 2011. We correct for endogeneity using indicators for governance and membership of international organisations. We find that ratified BITs increase on average bilateral FDI stocks by 35% compared to those of country pairs without a treaty. Upper middle income countries seem to benefit the most from ratified treaties whereas high income countries with high governance levels do not profit at all. In addition, lower middle and low income countries experience significantly larger inward FDI stocks from partner’s countries. Distinguishing by region, we find that ratified BITs increase FDI stocks mainly in East Asia and Middle & Eastern Europe.
    JEL: F21 F23 H25 H26
    Date: 2015–01
    URL: http://d.repec.org/n?u=RePEc:cpb:discus:298&r=eff
  33. By: Zineb Abidi (CREM CNRS and University of Caen Basse Normandie 19 rue Bloch 14032 Caen, France); Edoardo di Porto (University of Naples Federico II Complesso Universitario di Monte Sant'Angelo, Via Cintia, 21, 80126 Napoli, Italia.); Angela Parenti (IMT Institute of Advanced Studies, Lucca, Italy); Sonia Paty (Université de Lyon, Lyon, F-69007, France ; CNRS, GATE Lyon St Etienne,F-69130 Ecully, France)
    Abstract: We analyze voluntary coalition formation using a unique panel data for 1,056 municipalities in the French region of Brittany between 1995 and 2002. We use a control function approach to develop a binary discrete choice model with spatial interactions. We find that a municipality’s decision to cooperate over the provision local public goods depends on the decisions of its neighbours. Comparison with spatial econometrics models (SAR and Durbin) shows that the decision to cooperate is over estimated by these more traditional models. The results are in line with the recent applied spatial economics literature but are derived for a discrete choice model setting.
    Keywords: Inter-municipal cooperation, panel data, control function
    JEL: C3 H2 H4 H7
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:gat:wpaper:1444&r=eff

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