Average annual change in total factor productivity between 1990 and 2014

Here are the estimates from Penn World Tables, only selected countries are presented:

Sri Lanka 2.48

China 2.40

Poland 1.70

Uruguay 1.61

Romania 1.61

United States 0.89

Brazil -0.12

South Africa -0.53

Mexico -0.82

Ukraine -1.20

A few points.  First, I still believe Sri Lanka is an undervalued development story, in spite of recent developments.  Second, the economy of Poland is not discussed enough.  Third, other sources confirm similar numbers for Mexico, arguably because misallocations of capital and labor have increased due to the growing size of the informal sector.  Fourth, there are far too many other nations in the negative column.

Those numbers are reproduced in “Productivity in Emerging-Market Economies: Slowdown or Stagnation?”, by José de Gregorio, in the new and interesting volume Facing Up To Low Productivity Growth, edited by Adam S. Posen and Jeromin Zettelmeyer.


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