Productivity Dynamics and Japan's Economic Growth: An empirical analysis based on the Financial Statements Statistics of Corporations by Industry

         
Author Name INUI Tomohiko  (Economic and Social Research Institute) /KIM Young Gak  (Senshu University) /KWON Hyeog Ug  (Faculty Fellow, RIETI / Nihon University) /FUKAO Kyoji  (Faculty Fellow, RIETI / Hitotsubashi University)
Creation Date/NO. March 2011 11-J-042
Research Project Research on Productivity Growth in Service Sector
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Abstract

Using unique Japanese firm-level data for the Financial Statements Statistics of Corporations by Industry for 1982-2007, we observed TFP trends in both the manufacturing and non-manufacturing industries. Our results can be summarized as follows. First, TFP growth in the non-manufacturing industry was lower than that of the manufacturing industry. Second, there was productivity dispersion and it persists in both the manufacturing and non-manufacturing industries. Third, our results, which are based on productivity dynamics, show that the acceleration of TFP growth rate mainly occurred in the manufacturing industry.