Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s

Uganda's growth in gross domestic product of the 2000s was accompanied by high growth rates of labor productivity across industries producing tradable goods and services. This came about primarily as a result of investment in equipment and oth...

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Main Authors: Dennis, Allen, Mengistae, Taye, Yoshino, Yutaka, Zeufack, Albert
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/346311481118203023/Sources-of-productivity-growth-in-Uganda-the-role-of-interindustry-and-intra-industry-misallocation-in-the-2000s
http://hdl.handle.net/10986/25808
id okr-10986-25808
recordtype oai_dc
spelling okr-10986-258082021-06-08T14:42:46Z Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s Dennis, Allen Mengistae, Taye Yoshino, Yutaka Zeufack, Albert economic growth aggregate productivity industrialization manufacturing economic development tradable goods industries total factor productivity labor productivity allocative efficiency Uganda's growth in gross domestic product of the 2000s was accompanied by high growth rates of labor productivity across industries producing tradable goods and services. This came about primarily as a result of investment in equipment and other fixed assets, but also entailed substantial gains in total factor productivity Based on data from two waves of the Uganda Business Indicators survey this paper estimates that economy wide aggregate labor productivity and aggregate TFP grew at average annual rates of 13 t and 3 percent, respectively between survey years 2002 and 2009. Part of the growth in productivity on each measure reflected gains from technical progress made at the establishment level and within narrowly defined industries. But it was also in part the outcome of reallocation of labor and capital within as well as across industries. In particular, the paper estimates that about one-fifth of the aggregate growth in labor productivity between the two years reflected the shifting of labor toward industries and sectors where it was more productive on average and at the margin. The rest of the observed growth in labor productivity reflected gains made within narrowly defined industries. But almost in every case 55 to 90 percent of the observed "within industry" growth in labor productivity represented allocative efficiency gains from the correction of intra-industry inter-firm misallocation of labor. The balance of the observed within-industry growth in labor productivity represented establishment-level gains in technical efficiency. 2017-01-04T23:14:35Z 2017-01-04T23:14:35Z 2016-12 Working Paper http://documents.worldbank.org/curated/en/346311481118203023/Sources-of-productivity-growth-in-Uganda-the-role-of-interindustry-and-intra-industry-misallocation-in-the-2000s http://hdl.handle.net/10986/25808 English en_US Policy Research Working Paper;No. 7909 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Uganda
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic economic growth
aggregate productivity
industrialization
manufacturing
economic development
tradable goods industries
total factor productivity
labor productivity
allocative efficiency
spellingShingle economic growth
aggregate productivity
industrialization
manufacturing
economic development
tradable goods industries
total factor productivity
labor productivity
allocative efficiency
Dennis, Allen
Mengistae, Taye
Yoshino, Yutaka
Zeufack, Albert
Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s
geographic_facet Africa
Uganda
relation Policy Research Working Paper;No. 7909
description Uganda's growth in gross domestic product of the 2000s was accompanied by high growth rates of labor productivity across industries producing tradable goods and services. This came about primarily as a result of investment in equipment and other fixed assets, but also entailed substantial gains in total factor productivity Based on data from two waves of the Uganda Business Indicators survey this paper estimates that economy wide aggregate labor productivity and aggregate TFP grew at average annual rates of 13 t and 3 percent, respectively between survey years 2002 and 2009. Part of the growth in productivity on each measure reflected gains from technical progress made at the establishment level and within narrowly defined industries. But it was also in part the outcome of reallocation of labor and capital within as well as across industries. In particular, the paper estimates that about one-fifth of the aggregate growth in labor productivity between the two years reflected the shifting of labor toward industries and sectors where it was more productive on average and at the margin. The rest of the observed growth in labor productivity reflected gains made within narrowly defined industries. But almost in every case 55 to 90 percent of the observed "within industry" growth in labor productivity represented allocative efficiency gains from the correction of intra-industry inter-firm misallocation of labor. The balance of the observed within-industry growth in labor productivity represented establishment-level gains in technical efficiency.
format Working Paper
author Dennis, Allen
Mengistae, Taye
Yoshino, Yutaka
Zeufack, Albert
author_facet Dennis, Allen
Mengistae, Taye
Yoshino, Yutaka
Zeufack, Albert
author_sort Dennis, Allen
title Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s
title_short Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s
title_full Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s
title_fullStr Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s
title_full_unstemmed Sources of Productivity Growth in Uganda : The Role of Interindustry and Intra-industry Misallocation in the 2000s
title_sort sources of productivity growth in uganda : the role of interindustry and intra-industry misallocation in the 2000s
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/346311481118203023/Sources-of-productivity-growth-in-Uganda-the-role-of-interindustry-and-intra-industry-misallocation-in-the-2000s
http://hdl.handle.net/10986/25808
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