Other Factors Affecting Productivity Growth: Some Recent Developments

Abstract

A number of different determinants of costs and therefore production may be important for representing firm behavior, depending on the focus of the analysis and the industry or firm under consideration. Some representative factors affecting firm behavior mentioned in previous chapters include capital obsolescence, the regulatory environment, and imperfect competition. These constraints, “goods” or choices for the firm have very diverse characteristics, but all affect costs and therefore measured productivity growth in important ways.