nep-eff New Economics Papers
on Efficiency and Productivity
Issue of 2016‒02‒29
24 papers chosen by

  1. Technical efficiency of small-scale honey producer in Ethiopia: A Stochastic Frontier Analysis By Shiferaw, Kaleb; Berhanu Gebremedhin, Berhanu
  2. Weathering the storm: Ownership structure and performance of microfinance institutions in the wake of the global financial crisis By Mahinda Wijesiri
  3. Organisational change and the productivity effects of green technology adoption By Hottenrott, Hanna; Rexhäuser, Sascha; Veugelers, Reinhilde
  4. Do R&D and ICT Affect Total Factor Productivity Growth Differently? By Edquist, Harald; Henrekson, Magnus
  5. The German excellence initiative and efficiency change among universities, 2001-2011 By Gawellek, Bastian; Sunder, Marco
  6. The Effect of Local Taxes on Firm Performance: Evidence from Geo-referenced Data By Federico Belotti; Edoardo Di Porto; Gianluca Santoni
  7. Regional Growth with Spatial Dependence: a Case Study on Early Italian Industrialization By Carlo Ciccarelli; Stefano Fachin
  8. Does skill-biased technical change diffuse internationally? By Schulte, Patrick
  9. Energy and emissions efficiency patterns of Chinese regions: A multi-directional efficiency analysis By Ke Wang; Yi-Ming Wei; Xian Zhang
  10. Unraveling Firms: Demand, Productivity and Markups Heterogeneity By Emanuele Forlani; Ralf Martin; Giordano Mion; Mirabelle Muûls
  11. Bayesian inference in generalized true random-effects model and Gibbs sampling By Makieła, Kamil
  12. The dynamics of the economic efficiency indicators at Alba de Banat and Carpatina breeds By Chetroiu, Rodica; Călin, Ion
  13. Public Spending Efficiency in the OECD: Benchmarking Health Care, Education and General Administration By Richard Dutu; Patrizio Sicari
  14. Does Worker Wellbeing Affect Workplace Performance? By Alex Bryson; John Forth; Lucy Stokes
  15. Productivity and Organization in Portuguese Firms By Lorenzo Caliendo; Giordano Mion; Luca David Opromolla; Esteban Rossi-Hansberg
  16. Measuring Job-Finding Rates and Matching Efficiency with Heterogeneous Jobseekers By Robert E. Hall; Sam Schulhofer-Wohl
  17. Aggregate Productivity under an Energy-Based Approach By Arora, Vipin
  18. Mobile information and communication technologies, flexible work organization and labor productivity: Firm-level evidence By Viete, Steffen; Erdsiek, Daniel
  19. Research output indicators are not productivity indicators By Javier Ruiz-Castillo
  20. The Empirics of Agglomeration Economies By Pierre-Philippe Combes; Laurent Gobillon
  21. Financial systems and economic growth: empirical evidence from Australia By Odhiambo, Nicholas M.; Nyasha, Sheilla
  22. Water use efficiency in agriculture: measurement, current situation and trends By Sharma, Bharat; Molden, D.; Cook, Simon
  23. Does crisis affect convergence process? The case of the Spanish provinces By Montañés, Antonio; Olmos, Lorena; Reyes, Marcelo
  24. Labour reallocation and productivity dynamics: financial causes, real consequences By Claudio Borio; Enisse Kharroubi; Christian Upper; Fabrizio Zampolli

  1. By: Shiferaw, Kaleb; Berhanu Gebremedhin, Berhanu
    Abstract: Ethiopian farmers have a long tradition of beekeeping and the country has huge potential for honey production. However traditional mode of production still dominate the sub sector which negatively affect the total production and productivity. A number of studies has been conducted to better understand the working honey production however none of them systematically investigate the extent of technical efficiency of the sub-sector. This paper uses Stochastic Frontier production model to quantifying the extent of technical efficiency and identify exogenous determinant of inefficiency. The result showed that consistent with other studies traditional practice dominate small scale honey production in Ethiopia. The finding also revealed that use of purchased inputs such as bee forage and other supplement is very limited among honey producers indicating that natural bee forage is the primary source of bee forage. The immediate consequence of all these is low production and productivity. The number of hives the household owns, whether the household used improved apiculture technologies, availability of natural forest which is the primary sources of nectar for bees and amount of land owned by the households were found to have a significant influence on the amount of honey produced by beekeeper. Our result further showed that the mean technical efficiency of honey producers is 0.79 implying that, on average honey producer produce 80 percent of the maximum output. The implication is that 20 percent of the potential output is lost due to technical inefficiency. Number of hives owned by a honey produces, distance to district town-a proxy to market access, household wealth, and whether the household head has a leadership role in the PA affect the technical efficiency of honey producers. The finding suggest that policies that aim to expand the use of improved hives is expected to increase the honey production at household level. The result also suggest that investment on rural infrastructure would be instrumental in improving technical efficiency of honey producer.
    Keywords: Small-scale honey producer, Ethiopia, technical efficiency in apiculture, stochastic frontier analysis
    JEL: C31 D13 Q10 Q12
    Date: 2015–03–15
  2. By: Mahinda Wijesiri (Indira Gandhi Institute of Development Research; Institute of Economic Growth)
    Abstract: This study investigates the effects of the 2008 global financial crisis on the performance of different microfinance ownership types. The analysis in this study relies on a novel methodological framework that provides consistent productivity measures in the presence of undesirable outputs, while taking into account the technological heterogeneity among different ownership types. The results show that banks and non-bank financial institutions (NBFIs) that performed better immediately before the crisis, suffered more during the crisis and early post-crisis periods. Cooperatives and non-governmental organizations (NGOs), on the other hand, were less affected by the crisis. Moreover, results indicate that the pattern of productivity growth of all ownership forms three years after the eruption of the crisis was remarkably similar to their productivity growth pattern in the very early phase of the pre-crisis period.
    Keywords: Microfinance; Ownership; Metafrontier; Malmquist-Luenberger; Productivity change; Global Financial Crisis
    JEL: C61 D24 G01 G21
    Date: 2016–01
  3. By: Hottenrott, Hanna; Rexhäuser, Sascha; Veugelers, Reinhilde
    Abstract: This study investigates induced productivity effects of firms introducing new environmental technologies. The literature on within-firm organisational change and productivity suggests that firms can achieve higher productivity gains from adopting new technologies if they adapt their organisational structures. Such complementarity effects may be of particular importance for the adoption of greenhouse gas (GHG) abatement technologies. The adoption of these technologies is often induced by public authorities to limit the social costs of climate change, whereas the private returns are much less obvious. This study finds empirical support for complementarity between green technology adoption (either CO2-reducing or resources and energy efficiency-enhancing technologies) and organisational change. While the sole adoption of green technologies is associated with lower productivity, the simultaneous implementation of green technologies and organisational innovations is not.
    Keywords: technical change,environmental innovation,organisational change,productivity
    JEL: D23 O33 O32 Q55 L23 D24
    Date: 2016
  4. By: Edquist, Harald (Erricsson Research); Henrekson, Magnus (Research Institute of Industrial Economics (IFN))
    Abstract: We analyze the effect of ICT and R&D on total factor productivity (TFP) growth across different industries in Sweden. R&D alone is significantly associated with contemporaneous TFP growth, thus exhibiting spillover effects. Although there is no significant short-run association between ICT and TFP, we find a positive association with a lag of seven to eight years. Thus, spillovers from R&D affect TFP much faster than spillovers from ICT-investments. We also divide ICT capital into hardware and software capital. To our knowledge, this distinction has not been made in any previous study analyzing TFP at the industry level. The results show that lagged hardware capital services growth is significantly associated with TFP growth. Hence, investments complementary to hardware are needed to reap the long-run TFP effects from reorganizing production.
    Keywords: ICT; R&D; Spillovers; Total factor productivity; Panel data analysis
    JEL: L16 O33 O47
    Date: 2016–02–08
  5. By: Gawellek, Bastian; Sunder, Marco
    Abstract: The "Excellence Initiative" is a prestigious third-party funding program for German universities, organized as a research contest. We investigate whether universities in this program (or that prepared an application) had different trends in terms of productivity and technical efficiency than universities that did not apply for the program, albeit these dimensions were not the target of the program. While universities became more efficient if the extra funding through the program is included, we do not find a substantially positive effect that extends beyond this funding. The evidence even suggests that applicants suffered a drop in efficiency at the time of applying. All this does not rule out, however, that research-oriented universities jointly gained productivity through increased competition between them.
    Keywords: Efficiency,Malmquist index,German Research Foundation,DFG
    JEL: I23
    Date: 2016
  6. By: Federico Belotti (University of Rome Tor Vergata); Edoardo Di Porto (Università di Napoli Federico II, CSEF and UCFS, Uppsala University); Gianluca Santoni (CEPII)
    Abstract: This paper studies the impact of municipal non-residential property taxation on firms' performance using a panel data of italian manufacturing firms in 2001-2010. In the spirit of Duranton et al. (2011), we use a pairwise spatial difference instrumental variable estimator which allows to tackle the endogeneity of local taxation. As well as providing robust inference to arbitrary cross-sectional dependence and serial correlation, our empirical strategy also improves on existing work by exploiting the exogenous variation in local taxes generated by the political alignment of each jurisdiction with the central government. We find that non-residential property taxation exert a negative impact on firms' employment, capital and sales to such an extent as to significantly affect total factor productivity.
    Keywords: Local taxation, endogeneity, spatial differencing, generalized method of moments, two-way clustering
    JEL: H22 H71 R38
    Date: 2016–02–13
  7. By: Carlo Ciccarelli (Department of Economics and Finance, University of Rome Tor Vergata); Stefano Fachin (Department of Statistics, Sapienza University of Rome)
    Abstract: The paper estimates a conditional ß-convergence model of labor productivity growth in Italy’s manufacturing industry during 1871-1911, accounting for spatial dependence. The empirical evidence is based on a recent set of data at provincial (NUTS 3) level on manufacturing value added at 1911 prices, and a new set of data on human and social capital, political participation, and infrastructures. By focusing on a country and a time when the agglomeration forces and spillover effects advocated by the new economic geography were only starting to operate, we can investigate a particularly interesting case study. Our results suggest that human capital, a cooperative culture, and initial productivity in neighboring provinces can explain much of the geographical variability of productivity growth in manufacturing in nineteenth-century Italy.
    Keywords: ß-convergence, manufacturing, nineteenth-century, Italy, spatial dependence, labor productivity, human capital
    JEL: R11 O47 N64
    Date: 2016–02
  8. By: Schulte, Patrick
    Abstract: This paper studies the question whether skill-biased technical change diffuses internationally and that way contributes to the increasing relative skill demand in other countries. So far, the role of skill-biased technology diffusion has hardly been studied empirically. Using new sectoral data for a panel of 40 emerging and developed countries, 30 industries (covering manufacturing and service industries) and 13 years (1995-2007), the analysis shows that skill-biased technology diffusion is statistically and economically important in explaining skill-biased technical change. Countries further away from the skill-specific technological frontier subsequently show higher skill-specific productivity growth. For that, the bilateral distance between two countries proves to be an important mediating factor, whereas intersectoral trade linkages, so far, explain only a small part of it. The main results hold for both, developed and emerging countries.
    Keywords: skill-biased technical change,technology diffusion,distance,inputoutput linkages,industry-level data,emerging and developed countries
    JEL: F16 J24 O14 O33 C67
    Date: 2015
  9. By: Ke Wang; Yi-Ming Wei (Center for Energy and Environmental Policy Research (CEEP), Beijing Institute of Technology); Xian Zhang
    Abstract: Evaluation of the energy and emissions efficiency of Chinese regions has recently attracted increasing interest. A number of previous studies have contributed to the measurement of energy efficiency using various types of data envelopment analysis (DEA) techniques. However, most of these DEA-based energy efficiency analyses were restricted to the radial expansions of outputs or radial contractions of inputs. In this paper, we utilize the multi-directional efficiency analysis (MEA) approach instead of the traditional radial DEA to investigate Chinese regional energy and emissions efficiency. Since MEA selects benchmarks such that the input contractions or output expansions are proportional to the potential improvement identified by considering the improvement potential in each input or output variable separately, not just the efficiency status but also the efficiency patterns of different Chinese regions and areas can be detected. The empirical study results indicate that, in general, the MEA efficiency of China experienced an increasing process over the study period 1997-2010; the east area overall is more MEA efficient than the central area and the west area of China during the study period; the significant higher MEA efficiency of the east area to the central area and the west area are due to both the higher energy specific efficiency and the higher emissions specific efficiency of the east area compared to the other two areas; the provinces of Hebei, Shanxi, Inner Mongolia, Shandong, Henan, and Hubei etc. have both high energy saving potentials and high emissions reduction potentials, thus they will play the most important roles in China¡¯s effort on energy conservation and CO2 emissions mitigation.
    Keywords: Energy efficiency, CO2 emissions, Multi-directional efficiency analysis (MEA), China
    JEL: Q40 Q58
    Date: 2014–07–01
  10. By: Emanuele Forlani; Ralf Martin; Giordano Mion; Mirabelle Muûls
    Abstract: We develop a new econometric framework that simultaneously allows recovering heterogeneity in demand, TFP and markups across firms while leaving the correlation among the three unrestricted. We do this by systematically exploiting assumptions that are implicit in previous firm-level productivity estimation approaches. We use Belgian firms production data to quantify TFP, demand and markups and show how they are correlated among them, across time and with measures obtained from other approaches. We also show to what extent our three dimensions of heterogeneity allow us to gain deeper and sharper insights on two key firm-level outcomes: export status and size.
    Keywords: demand, productivity, markups, production function estimation, export status, firm size
    JEL: D24 L11 L25 F14
    Date: 2016–01
  11. By: Makieła, Kamil
    Abstract: The paper investigates Bayesian approach to estimating generalized true random-effects model (GTRE) via Gibbs sampling. Simulation results show that under properly defined priors for transient and persistent inefficiency components the posterior characteristics of the GTRE model are well approximated using simple Gibbs sampling procedure. No model reparametrization is required and if such is made it leads to much lower numerical efficiency. The new model allows us to make more reasonable assumptions as regards prior inefficiency distribution and appears more reliable in handling especially nuisance datasets. Empirical application furthers the research into stochastic frontier analysis using GTRE by examining the relationship between inefficiency terms in GTRE, true random-effects (TRE), generalized stochastic frontier and a standard stochastic frontier model.
    Keywords: generalized true random-effects model, stochastic frontier analysis, Bayesian inference, cost efficiency, firm heterogeneity, transient and persistent efficiency
    JEL: C11 C23 C51 D24
    Date: 2016–01–19
  12. By: Chetroiu, Rodica; Călin, Ion
    Abstract: The paper presents the research results on the evolution of indicators of economic efficiency in the milk production at Alba de Banat and Carpatina breeds, for a period of 3 years, during 2012-2014, at S.C. AGROFAM HOLDING Feteşti. Indicators studied are: average yield, total output value, total costs, unitary cost, variable costs, labor productivity in terms of value, costs for 1,000 lei main production, profit per unit of product, rate of return, breakeven point in physical and value units, rate of operational risk. Thus, their values are entirely superior for Alba de Banat goats, compared to Carpatina. Also, due to the downward curves of the milk production in the succession of the years studied, the levels of indicators are largely decreasing from year to year, with limits that support the efficiency of production activity.
    Keywords: Milk, goats, indicators, efficiency.
    JEL: D24 Q10 Q18 R15
    Date: 2015–11–20
  13. By: Richard Dutu; Patrizio Sicari
    Abstract: In many OECD countries changes in demography and health conditions are putting pressure on public finance. To prevent further expansion of government spending as a percentage of GDP, public spending efficiency will need to be raised. This paper uses data envelopment analysis (DEA) to assess the efficiency of welfare spending in a sample of OECD countries around 2012, focussing on health care, secondary education and general public services. The DEA model has a two input-one output structure, with at least one of the variables representing a composite indicator controlling for country-specific factors (socio-economic environment and life-style factors, for example). We find wide dispersion in efficiency measures across OECD countries and provide possible quantified improvements for both output and input efficiency. Efficience de la Dépense Publique dans l'OCDE : Évaluation des secteurs de la Santé, l'Éducation et l'Administration Générale Les changements en cours en matière de démographie et de santé dans de nombreux pays de l’OCDE exercent une pression sur les finances publiques. Pour éviter une hausse continue des dépenses publiques en pourcentage du PIB, l'efficience des dépenses publiques devra être augmentée. Ce document utilise l'analyse dite data envelopment analysis (DEA) pour évaluer l'efficience des dépenses publiques en 2012 dans un échantillon de pays de l'OCDE dans le domaine de la santé, de l'enseignement secondaire et de l’administration générale. Le modèle DEA a une structure à deux entrées - une sortie, avec au moins une des variables représentant un indicateur composite afin de contrôler les spécificités de chaque pays (environnement socio-économique et les facteurs de style de vie, par exemple). Nous trouvons une grande divergence des mesures d'efficience de la dépense publique au sein de pays de l'OCDE, et mesurons les améliorations possibles pour chaque pays en termes d’efficience.
    Keywords: education, Public spending efficiency, healthcare, DEA, santé, dépense publique, efficience, éducation
    JEL: H11 H51 H52
    Date: 2016–02–18
  14. By: Alex Bryson; John Forth; Lucy Stokes
    Abstract: This paper uses linked employer-employee data to investigate the relationship between employees’ subjective well-being and workplace performance in Britain. The analyses show a clear, positive and statistically-significant relationship between the average level of job satisfaction at the workplace and workplace performance. This finding is present in both cross-sectional and panel analyses and is robust to various estimation methods and model specifications. In contrast, we find no association between levels of job-related affect and workplace performance.
    Date: 2015–05
  15. By: Lorenzo Caliendo; Giordano Mion; Luca David Opromolla; Esteban Rossi-Hansberg
    Abstract: The productivity of firms is, at least partly, determined by a firm’s actions and decisions. One of these decisions involves the organization of production in terms of the number of layers of management the firm decides to employ. Using detailed employer-employee matched data and firm production quantity and input data for Portuguese firms, we study the endogenous response of revenue-based and quantity-based productivity to a change in layers: a firm reorganization. We show that as a result of an exogenous demand or productivity shock that makes the firm reorganize and add a management layer, quantity based productivity increases by about 4%, while revenue-based productivity drops by more than 4%. Such a reorganization makes the firm more productive, but also increases the quantity produced to an extent that lowers the price charged by the firm and, as a result, its revenue-based productivity.
    JEL: D22 D24 L23 F16 J24 J31
    Date: 2016
  16. By: Robert E. Hall (Hoover Institution); Sam Schulhofer-Wohl
    Abstract: Matching efficiency is the productivity of the process for matching jobseekers to available jobs. Job-finding is the output; vacant jobs and active jobseekers are the inputs. Measurement of matching efficiency follows the same principles as measuring a Hicks-neutral index of productivity of production. We develop a framework for measuring matching productivity when the population of jobseekers is heterogeneous. The efficiency index for each type of jobseeker is the monthly job-finding rate for the type adjusted for the overall tightness of the labor market. We find that overall matching efficiency declined over the period, at just below its earlier downward trend. We develop a new approach to measuring matching rates that avoids counting short- duration jobs as successes. And we show that the outward shift in the Beveridge curve in the post-crisis period is the result of pre-crisis trends, not a downward shift in matching efficiency attributable to the crisis.
    JEL: E24 J63
    Date: 2015–01
  17. By: Arora, Vipin
    Abstract: Obtaining reliable data on capital is a recurring challenge when estimating economy-wide productivity growth, especially for developing countries. In this paper I construct energy-based productivity series which use energy consumption instead of capital when making such estimates. I first show that—for the U.S. and select OECD countries—growth in the energy-based series are strongly correlated with other sources historically. I then estimate energy-based productivity growth for other OECD and non-OECD countries where data on capital and productivity is more limited.
    Keywords: total factor productivity,energy consumption,economic growth,international
    JEL: E00 O40 Q43
  18. By: Viete, Steffen; Erdsiek, Daniel
    Abstract: Mobile information and communication technologies (ICT) have started to diffuse rapidly in the business sector. This study tests for the complementarity between the use of mobile ICT and organizational practices providing workplace flexibility. We hypothesize that mobile ICT can create value if organizational practices grant employees more autonomy over when, where and how to perform work-related tasks. Our data set comprises 1132 German service firms and provides information on the share of employees that have been equipped with mobile devices which allow for wireless internet access, such as notebooks, tablets and smartphones. Workplace flexibility is measured in terms of firms' use of working from home arrangements, working time accounts, and trust-based working time. Within a production function framework, we find that the use of mobile ICT is associated with a productivity premium only in firms granting workplace flexibility by means of trust-based working time. Robustness checks suggest that our results are not driven by ICT-skill complementarity or by complementarity of mobile ICT with multiple alternative modern management practices.
    Keywords: Mobile Information and Communication Technologies,Organizational Practices,Labor Productivity,Complementarity,Firm-Level Data
    JEL: D22 L22 M10 O33
    Date: 2015
  19. By: Javier Ruiz-Castillo
    Date: 2016–01
  20. By: Pierre-Philippe Combes (Institut d'Études Politiques [IEP] - Paris, CEPR - Center for Economic Policy Research - CEPR, AMSE - Aix-Marseille School of Economics - EHESS - École des hautes études en sciences sociales - Centre national de la recherche scientifique (CNRS) - Ecole Centrale Marseille (ECM) - AMU - Aix-Marseille Université); Laurent Gobillon (CEPR - Center for Economic Policy Research - CEPR, PSE - Paris-Jourdan Sciences Economiques - CNRS - Centre National de la Recherche Scientifique - Institut national de la recherche agronomique (INRA) - EHESS - École des hautes études en sciences sociales - ENS Paris - École normale supérieure - Paris - École des Ponts ParisTech (ENPC), EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics, INED - Institut national d'études démographiques)
    Abstract: We propose an integrated framework to discuss the empirical literature on the local determinants of agglomeration effects. We start by presenting the theoretical mechanisms that ground individual and aggregate empirical specifications. We gradually introduce static effects, dynamic effects, and workers' endogenous location choices. We emphasise the impact of local density on productivity but we also consider many other local determinants supported by theory. Empirical issues are then addressed. Most important concerns are about endogeneity at the local and individual levels, the choice of a productivity measure between wage and TFP, and the roles of spatial scale, firms' characteristics, and functional forms. Estimated impacts of local determinants of productivity, employment, and firms' locations choices are surveyed for both developed and developing economies. We finally provide a discussion of attempts to identify and quantify specific agglomeration mechanisms.
    Keywords: Agglomeration gains,Density,Sorting,Learning,Location choices
    Date: 2014–10
  21. By: Odhiambo, Nicholas M.; Nyasha, Sheilla
    Abstract: This paper has examined the dynamic impact of both bank- and market-based financialdevelopment on economic growth in Australia ??? during the period 1980 to 2012. The studyuses the autoregressive distributed lag bounds (ARDL) testing approach to examine thislinkage. Unlike some previous studies, this study uses financial sector development indices tomeasure both bank- and market-based financial development. These indices were computedusing the method of means-removed average. The empirical results of this study show that whilebank-based financial development has a short-run positive impact on economic growth in Australia,market-based financial development has no significant impact on economic growth, both in the shortrun or in the long run.
    Keywords: Australia, Bank-Based Financial Development, Market-Based Financial Development, Economic Growth
    Date: 2015–07
  22. By: Sharma, Bharat; Molden, D.; Cook, Simon
    Keywords: Water use efficiency; Water productivity; Agricultural population; Crops; Measurement; Nitrogen fertilizers
    Date: 2015
  23. By: Montañés, Antonio; Olmos, Lorena; Reyes, Marcelo
    Abstract: We study the possible existence of convergence across the Spanish provinces, paying special attention to the influence the recent international crisis has had on this process. To this end, we have taken the traditional per capita GDP as well as the multidimensional index of human development as a reference. Our results show that the convergence pattern has been clearly modified by the crisis; the differences are greater in 2014 than in 2007. Nevertheless, a greater effect of the crisis has not been observed on predominantly urban provinces, in contrast to what other authors have found in the case of Europe.
    Keywords: Convergence; Human Development Index; Urban provinces; Crisis
    JEL: C22 O47 R10
    Date: 2016–02
  24. By: Claudio Borio; Enisse Kharroubi; Christian Upper; Fabrizio Zampolli
    Abstract: We investigate the link between credit booms, productivity growth, labour reallocations and financial crises in a sample of over twenty advanced economies and over forty years. We produce two key findings. First, credit booms tend to undermine productivity growth by inducing labour reallocations towards lower productivity growth sectors. A temporarily bloated construction sector stands out as an example. Second, the impact of reallocations that occur during a boom, and during economic expansions more generally, is much larger if a crisis follows. In other words, when economic conditions become more hostile, misallocations beget misallocations. These findings have broader implications: they shed light on the recent secular stagnation debate; they provide an alternative interpretation of hysteresis effects; they highlight the need to incorporate credit developments in the measurement of potential output; and they provide a new perspective on the medium- to long-run impact of monetary policy as well as its ability to fight post-crisis recessions.
    Keywords: Labour reallocation, productivity, credit booms, financial crises, hysteresis
    Date: 2016–01

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