Productivity Growth, Technological Convergence, RandD, Trade, and Labor Markets : Evidence From the French Manufacturing Sector

Author/Editor:

Tehmina S. Khan

Publication Date:

October 1, 2006

Electronic Access:

Free Full text (PDF file size is 621 KB).Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

Total factor productivity (TFP) of 14 manufacturing sectors in France has kept up with that of the United States during 1980-2002 and remained well above that of the United Kingdom. Estimates using a dynamic panel equilibrium correction model indicate that sectors further behind the technological frontier experience faster productivity growth and that spending on research and development and trade with technologically advanced economies positively influences TFP growth, but not the speed of convergence. Conversely, TFP growth is negatively related to some key labor market variables, namely the replacement ratio and the ratio of the minimum wage to the median wage.

Series:

Working Paper No. 06/230

Subject:

English

Publication Date:

October 1, 2006

ISBN/ISSN:

9781451864908/1018-5941

Stock No:

WPIEA2006230

Price:

$18.00 (Academic Rate:$18.00)

Format:

Paper

Pages:

38

Please address any questions about this title to publications@imf.org