Productivity Loss and Misallocation of Resources in Southeast Asia (English)

This paper examines within-sector resource misallocation in three Southeast Asian countries -- Indonesia, Malaysia, and Vietnam. The methodology accounts for measurement error in revenues and costs. The firm-level evidence suggests that measurement error is substantial, resulting in an overestimation of misallocation by as much as 30 percent. Nevertheless, resource misallocation across firms within a sector remains large, albeit declining. The findings...

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Author

De Nicola,Francesca;

Nguyen,Ha Minh;

Loayza,Norman V.;
Document Date
2020/11/30
Document Type
Policy Research Working Paper
Report Number
WPS9483
Volume No
1
Total Volume(s)
1
Country
Viet Nam, Malaysia, Indonesia, South East Asia and Mongolia,
Region
East Asia And Pacific,
Disclosure Date
2020/11/30
Disclosure Status
Disclosed
Doc Name
Productivity Loss and Misallocation of Resources in Southeast Asia
Keywords
measurement error

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Citation

De Nicola,Francesca; Nguyen,Ha Minh; Loayza,Norman V..

Productivity Loss and Misallocation of Resources in Southeast Asia (English). Policy Research working paper|no. WPS 9483 Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/988961606749814811

Productivity Loss and Misallocation of Resources in Southeast Asia (English)

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