Openness, productivity and allocation efficiency in ASEAN-4

TAJUL ARIFFIN MASRON AND ZULKORNAIN YUSOP, UNIVERSITY PUTRA MALAYSIA, MALAYSIA

One of the important elements related to the variation in the efficiency of investment and productivity is the role of openness. The relationships between openness and allocation efficiency as well as openness and productivity have are linked with the adverse selection phenomenon in the developing countries which resulted in inefficient resource allocation and low TFP. Therefore, this paper is intended to investigate the impact of openness on allocation efficiency (ICOR) and productivity growth (TFP growth). Applying the unrestricted error correction model (UECM), we found no clear evidence that openness has led to improvement in allocation efficiency. Nevertheless, it has helped in technology improvement.
Keywords: Icor; Allocation Efficiency; Productivity; Openness; UECM.

30- YOUSP-Itemid=.pdf
30- YOUSP-Itemid=.pdf
Share on FacebookTweet about this on TwitterShare on LinkedInShare on Google+Email this to someonePrint this page

Please note, you need to be a WASD member to login and download publications. Logged-in members will see a 'Download' button in the box above.

If you do not have a login, you can register to become a member.

If you are are already a member, please login below.

Login

Be the first to comment

Leave a Reply

Your email address will not be published.


*