Creator: Huggett, Mark and Ospina, Sandra Series: Productivity and the industrial revolution Abstract:
A number of theoretical models of technology adoption have been proposed that emphasize technological switching, loss of expertise and subsequent technology-specific learning. These models imply that measured productivity may initially fall and then later rise after the adoption of a new technology. This paper investigates whether or not this implication is a feature of plant-level data from the Colombian manufacturing sector. We regress measures of productivity growth at the plant level on a plant-specific measure of technology adoption and its lagged values. We find that...
Keyword: Embodied, Productivity, Latin America, Manufacturing, South America, Technology, and Colombia Subject (JEL): D24 - Production and organizations - Production ; Cost ; Capital and total factor productivity ; Capacity, L60 - Industry Studies: Manufacturing: General, O14 - Economic development - Industrialization ; Manufacturing and service industries ; Choice of technology, and O33 - Technological change ; Research and development - Technological change : Choices and consequences ; Diffusion processes
Creator: Huggett, Mark and Kaplan, Greg Series: Staff report (Federal Reserve Bank of Minneapolis. Research Department) Number: 448 Abstract:
We provide theory for calculating bounds on both the value of an individual’s human capital and the return on an individual’s human capital, given knowledge of the process governing earnings and financial asset returns. We calculate bounds using U.S. data on male earnings and financial asset returns. The large idiosyncratic component of earnings risk implies that bounds on values and returns are quite loose. However, when aggregate shocks are the only source of earnings risk, both bounds are tight.
Keyword: Value of human capital, Asset pricing, and Return on human capital Subject (JEL): G12 - Asset Pricing; Trading Volume; Bond Interest Rates and J24 - Human Capital; Skills; Occupational Choice; Labor Productivity