TY - JOUR AU - Martínez Alanis, Pedro J. PY - 2012/01/01 Y2 - 2024/03/29 TI - Regional distortions in resources allocation and manufactures productivity in Mexico JF - Estudios Económicos de El Colegio de México JA - EE VL - 27 IS - 1 SE - Articles DO - 10.24201/ee.v27i1.96 UR - https://estudioseconomicos.colmex.mx/index.php/economicos/article/view/96 SP - 3-59 AB - <p>This paper decomposes the regional effects of resource misallocation on aggregate total factor productivity (TFP), as a variant of the Hsieh and Klenow (2009a) model. Using establishment level data from the 2004 Mexican Economic Census, I calculate the potential regional TFP gains in Manufacturing. The results suggest that: (i) capital misallocation is the primary source of regional misallocation in the sector; and (ii) resource misallocation within regions is the most important component in manufacturing TFP gains.</p> ER -