Tag
macroeconomics
3 findings
Firms & operationsCross-Country Productivity Dispersion and Management GapIndia's total factor productivity is approximately 40% of the US level; the 90th-to-10th percentile total factor productivity ratio is 5.0 in India and 4.9 in China versus 2.0 in US manufacturing; Indian manufacturing firms averaged a management score of 2.69 compared to 3.33 in the US due to a thick long tail of badly run plants.Observational StudyLabour & employmentDecoupling of Entry Wages from Aggregate Economic GrowthAverage nominal wages in the control group grew strictly at the rate of inflation during a period when the national economy expanded at 8% per year in real terms.Observational StudyLabour & employmentMacroeconomic Mitigation of Work DisincentivesA 1 percentage point increase in the unemployment rate surrounding the time of the voucher offer mitigated the ITT employment reduction by 0.006 (relative to an average ITT employment effect of -0.017), indicating weaker economic conditions at offer buffer against labor supply drops.RCT