Panel tests of stochastic convergence: TFP transmission within manufacturing industries
- 31 March 2003
- journal article
- research article
- Published by Elsevier BV in Economics Letters
- Vol. 78 (3), 365-371
- https://doi.org/10.1016/s0165-1765(02)00254-9
Abstract
This paper examines the international transmission of industry-specific productivity shocks. We demonstrate the limitations of panel unit root tests of stochastic convergence, and propose an alternative method. The data reject stochastic convergence, displaying considerable heterogeneity in TFP movements within industries.Keywords
This publication has 5 references indexed in Scilit:
- Testing for unit roots in heterogeneous panelsJournal of Econometrics, 2003
- A residual-based test of the null of cointegration in panel dataEconometric Reviews, 1998
- Convergence revisitedJournal of Monetary Economics, 1996
- Productivity Across Industries and Countries: Time Series Theory and EvidenceThe Review of Economics and Statistics, 1996
- Convergence in international outputJournal of Applied Econometrics, 1995