Open AccessTOTAL FACTOR PRODUCTIVITY CONVERGENCE CASE OF THE WESTERN BALKAN COUNTRIES
Author(s) -
Zoran Borović
Publication year - 2021
Publication title -
zbornik radova ekonomskog fakulteta u istočnom sarajevu
Language(s) - English
Resource type - Journals
eISSN - 1986-6690
pISSN - 1840-3557
DOI - 10.7251/zrefis2021021b
Subject(s) - total factor productivity , convergence (economics) , productivity , the republic , test (biology) , geography , development economics , economic growth , economy , economics , paleontology , philosophy , theology , biology
This study examines Total Factor Productivity (hereinafter TFP) convergence in the Western Balkan countries (Republic of Slovenia-SL, Republic of Croatia-CR, Republic of Serbia-SR, and the Republic of Srpska-RS). Our analysis will cover the time period 2000- 2018. Our goal here is threefold. First, we will estimate the TFP for selected countries, and to do so, we will apply the growth accounting. Second, we will use the development accounting to test for the unconditional catching up. And third, we will test the country’s ability to learn or absorb new technology from the more advanced leader through the ``technology gap`` and ``technology spillovers``. In our survey, we will assume, apriori, that most developed country is Slovenia, followed by Croatia, Serbia, and the Republic of Srpska.