1. Productivity changes in the automotive industry of three European countries. An application of the Malmquist index decomposition analysis.
- Author
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Agostino, M., Nifo, A., Ruberto, S., Scalera, D., and Trivieri, F.
- Subjects
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INDUSTRIAL productivity , *AUTOMOBILE industry , *PARENT companies , *TECHNOLOGICAL progress , *DATA envelopment analysis , *ENVIRONMENTAL regulations - Abstract
• Changes in productivity of small and large firms of automotive industry are analyzed. • The 2008-09 crisis impacted on productivity by reducing technological progress. • The consequences of the crisis were more severe for SMEs. • Suitable policies may be based on environmental regulation, incentive schemes and support to R&D investments. This paper analyzes the changes in productivity of small and large firms operating in the automotive industry in France, Italy and Spain, occurred during the pre-crisis (2001-2008) and post-crisis (2009-2014) periods. To this aim, the Malmquist index as a measure of total factor productivity (TFP) variation is computed, by using the non-parametric technique DEA, integrated by a bootstrap technique proposed by Simar and Wilson (1999). The analysis allows distinguishing among different possible sources of TFP changes, i.e. pure technical efficiency change, scale efficiency change and technological change. The latter comes up to be the main channel through which the global crisis negatively impacted on productivity, presumably by hampering the primary engines of technological change, i.e. research, innovation and investment through reduced availability of financial resources for SMEs, worsened perspectives for firm growth and greater concentration in selected geographical areas of investments by parent companies. [ABSTRACT FROM AUTHOR]
- Published
- 2022
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