Is Telecommunications Productivity Characterized by Steady State Conditions? Some Empirical Evidence for 13 OECD Countries

Communications & Strategies, No. 74, p. 127, 2009

Posted: 17 May 2011 Last revised: 19 Jul 2012

See all articles by Claudia Curi

Claudia Curi

Free University of Bolzano-Bozen, Faculty of Economics and Management

Paolo Mancuso

University of Roma Tor Vergata

Date Written: 2009

Abstract

This paper studies the convergence process, or lack thereof, of Total Factor Productivity (TFP) for a panel of 13 OECD countries over the period 1979-2007, adding breadth and depth to the convergence debate in the telecommunications industry. TFP growth is examined through the Malmquist Index and decomposed in its main determinates. Absolute and conditional convergences are estimated. Fixed-effects estimates across countries convert the cross-section test of absolute convergence into a pooled test of conditional convergence. Our findings show a growth in TFP, mainly driven by technological process. It is boosted by an increase in production possibilities and lack of bias in input utilization. Inefficiency in scale is found. Convergence tests do not suggest support in favor of absolute convergence but do exhibit evidence of conditional convergence.

Keywords: Total Factor Productivity (TFP), Data Envelopment Analysis (DEA), conditional b-convergence, Fixed Effects Model

Suggested Citation

Curi, Claudia and Mancuso, Paolo, Is Telecommunications Productivity Characterized by Steady State Conditions? Some Empirical Evidence for 13 OECD Countries (2009). Communications & Strategies, No. 74, p. 127, 2009, Available at SSRN: https://ssrn.com/abstract=1842267 or http://dx.doi.org/10.2139/ssrn.1842267

Claudia Curi (Contact Author)

Free University of Bolzano-Bozen, Faculty of Economics and Management ( email )

Universitätsplatz 1-Piazza Università 1
Bozen-Bolzano, Bolzano 39100
Italy
+39 0471 13498 (Phone)

Paolo Mancuso

University of Roma Tor Vergata ( email )

Via di Tor Vergata
Roma, Lazio
Italy

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