SSE/EFI Working Paper Series in Economics and Finance,
Stockholm School of Economics

Abstract: This paper is concerned with empirical measurement of patterns of productivity growth by means of competing panel data models of technical change. We argue that short term analysis must rely on models of technical change which are more flexible than the standard time trend model, because biophysical shocks and shifting market conditions lead to shifts in the rate of technical change from year to year. Based on empirical results from an unbalanced panel of 560 Norwegian salmon farms for the period 1985-93 we also find that flexible models of technical change are the most appropriate for short term analysis of productivity growth. Our results indicate that market conditions may be as important as biophysical shocks, such as disease outbreaks and weather shocks, for the estimated rates of productivity growth. Contrary to standard hypotheses in the literature we find a negative relationship between industry price-cost margin and productivity growth, probably due to a reduced level of on-farm innovation and less investments in improved technologies under depressed economic conditions.

Keywords: Firm-specific technical change; productivity growth; market conditions; salmon farming

JEL-codes: C23; C51; D24; Q12; Q22

25 pages, February 9, 1999

Download statistics

Published as

Ragnar Tveterås and Almas Heshmati, (2002), 'Patterns of Productivity Growth in the Norwegian Salmon Farming Industry', International Review of Economics and Business, vol IL, no 3, pages 367-393

• Stockholm School of Economics
• Home page for this series

Questions (including download problems) about the papers in this series should be directed to Helena Lundin ()
Report other problems with accessing this service to Sune Karlsson ().

RePEc:hhs:hastef:0301This page generated on 2024-09-13 22:15:05.