Regulation, Trade and Productivity in Romania : An Empirical Assessment
Inappropriate regulation can influence productivity performance by affecting incentives to invest and adopt new technologies, as well as by directly curbing competitive pressures. Results of a labor productivity growth model for European countries...
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
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World Bank, Washington, DC
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2013/06/17895959/regulation-trade-productivity-romania-empirical-assessment http://hdl.handle.net/10986/15854 |
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okr-10986-158542021-04-23T14:03:23Z Regulation, Trade and Productivity in Romania : An Empirical Assessment De Rosa, Donato Iootty, Mariana Pirlea, Ana Florina ACCOUNTING AGRICULTURE AIR AIR TRANSPORT ALLOCATIVE EFFICIENCY BASIC METALS BENCHMARK BEST PRACTICE BUSINESS ACTIVITIES BUSINESS ENTRY BUSINESS ENVIRONMENT BUSINESS OPERATIONS COAL COMPUTERS DEVELOPMENT POLICY DIVIDENDS ECONOMIC GROWTH ECONOMICS ELECTRICITY EMPIRICAL STUDIES EQUIPMENT EXPORTS FISHING FORESTRY FUEL GDP GLOBAL ECONOMY GROSS DOMESTIC PRODUCT GROWTH POTENTIAL HUMAN CAPITAL ICT INCOME INNOVATION INSTITUTIONAL FRAMEWORK INTERMEDIATE GOODS INTERNATIONAL TRADE LABOR FORCE LABOR PRODUCTIVITY LAND TRANSPORT LOGGING MANUFACTURING MOTOR VEHICLES NEW TECHNOLOGIES OIL OPEN ACCESS PETROLEUM PRODUCTS POLICY ENVIRONMENT POLITICAL ECONOMY POSITIVE EFFECTS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCTION PROCESS PRODUCTIVITY GROWTH PROPERTY RIGHTS RADIO RECYCLING REGULATORY ENVIRONMENT REGULATORY FRAMEWORK RESULTS RETAIL SALE RETAIL TRADE TECHNOLOGICAL CHANGE TECHNOLOGY TRANSFER TECHNOLOGY TRANSFERS TELECOMMUNICATIONS TELEVISION TRANSPORT TRANSPORT ACTIVITIES TRANSPORT EQUIPMENT TRANSPORT RESEARCH USERS VALUE ADDED WEB aggregate productivity cross-country output convergence regulation Inappropriate regulation can influence productivity performance by affecting incentives to invest and adopt new technologies, as well as by directly curbing competitive pressures. Results of a labor productivity growth model for European countries suggest that improving the regulatory environment -- proxied by the Worldwide Governance Indicators regulatory quality indicator -- and boosting effective exposure to competition through increasing trade integration -- expressed as the ratio of exports plus imports to gross domestic product -- have positive effects on productivity growth. In Romania a 10 percent increase in openness to global trade over 1995-2010 would have boosted productivity growth by 9.7 percent per year. A 10 percent increase in openness to European Union trade, in particular, would have led to an annual increase in productivity of 7 percent. Realizing the benefits from trade integration depends to some extent on regulation. In this regard, the effects of regulation on productivity growth are found to be positive, regardless of the indicator used to measure regulation, and both through direct and indirect channels (by increasing the speed at which a country catches up with productivity leaders). Simulation results also show how countries with different levels of regulatory quality would benefit from a regulatory improvement: had Romania improved its regulatory environment to the same level as Denmark in 2010, its annual productivity growth would have been 14 percent higher over 1995-2010. 2013-09-26T15:12:55Z 2013-09-26T15:12:55Z 2013-06 http://documents.worldbank.org/curated/en/2013/06/17895959/regulation-trade-productivity-romania-empirical-assessment http://hdl.handle.net/10986/15854 English en_US Policy Research Working Paper;No. 6493 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Europe and Central Asia Romania |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCOUNTING AGRICULTURE AIR AIR TRANSPORT ALLOCATIVE EFFICIENCY BASIC METALS BENCHMARK BEST PRACTICE BUSINESS ACTIVITIES BUSINESS ENTRY BUSINESS ENVIRONMENT BUSINESS OPERATIONS COAL COMPUTERS DEVELOPMENT POLICY DIVIDENDS ECONOMIC GROWTH ECONOMICS ELECTRICITY EMPIRICAL STUDIES EQUIPMENT EXPORTS FISHING FORESTRY FUEL GDP GLOBAL ECONOMY GROSS DOMESTIC PRODUCT GROWTH POTENTIAL HUMAN CAPITAL ICT INCOME INNOVATION INSTITUTIONAL FRAMEWORK INTERMEDIATE GOODS INTERNATIONAL TRADE LABOR FORCE LABOR PRODUCTIVITY LAND TRANSPORT LOGGING MANUFACTURING MOTOR VEHICLES NEW TECHNOLOGIES OIL OPEN ACCESS PETROLEUM PRODUCTS POLICY ENVIRONMENT POLITICAL ECONOMY POSITIVE EFFECTS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCTION PROCESS PRODUCTIVITY GROWTH PROPERTY RIGHTS RADIO RECYCLING REGULATORY ENVIRONMENT REGULATORY FRAMEWORK RESULTS RETAIL SALE RETAIL TRADE TECHNOLOGICAL CHANGE TECHNOLOGY TRANSFER TECHNOLOGY TRANSFERS TELECOMMUNICATIONS TELEVISION TRANSPORT TRANSPORT ACTIVITIES TRANSPORT EQUIPMENT TRANSPORT RESEARCH USERS VALUE ADDED WEB aggregate productivity cross-country output convergence regulation |
| spellingShingle |
ACCOUNTING AGRICULTURE AIR AIR TRANSPORT ALLOCATIVE EFFICIENCY BASIC METALS BENCHMARK BEST PRACTICE BUSINESS ACTIVITIES BUSINESS ENTRY BUSINESS ENVIRONMENT BUSINESS OPERATIONS COAL COMPUTERS DEVELOPMENT POLICY DIVIDENDS ECONOMIC GROWTH ECONOMICS ELECTRICITY EMPIRICAL STUDIES EQUIPMENT EXPORTS FISHING FORESTRY FUEL GDP GLOBAL ECONOMY GROSS DOMESTIC PRODUCT GROWTH POTENTIAL HUMAN CAPITAL ICT INCOME INNOVATION INSTITUTIONAL FRAMEWORK INTERMEDIATE GOODS INTERNATIONAL TRADE LABOR FORCE LABOR PRODUCTIVITY LAND TRANSPORT LOGGING MANUFACTURING MOTOR VEHICLES NEW TECHNOLOGIES OIL OPEN ACCESS PETROLEUM PRODUCTS POLICY ENVIRONMENT POLITICAL ECONOMY POSITIVE EFFECTS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCTION PROCESS PRODUCTIVITY GROWTH PROPERTY RIGHTS RADIO RECYCLING REGULATORY ENVIRONMENT REGULATORY FRAMEWORK RESULTS RETAIL SALE RETAIL TRADE TECHNOLOGICAL CHANGE TECHNOLOGY TRANSFER TECHNOLOGY TRANSFERS TELECOMMUNICATIONS TELEVISION TRANSPORT TRANSPORT ACTIVITIES TRANSPORT EQUIPMENT TRANSPORT RESEARCH USERS VALUE ADDED WEB aggregate productivity cross-country output convergence regulation De Rosa, Donato Iootty, Mariana Pirlea, Ana Florina Regulation, Trade and Productivity in Romania : An Empirical Assessment |
| geographic_facet |
Europe and Central Asia Romania |
| relation |
Policy Research Working Paper;No. 6493 |
| description |
Inappropriate regulation can influence
productivity performance by affecting incentives to invest
and adopt new technologies, as well as by directly curbing
competitive pressures. Results of a labor productivity
growth model for European countries suggest that improving
the regulatory environment -- proxied by the Worldwide
Governance Indicators regulatory quality indicator -- and
boosting effective exposure to competition through
increasing trade integration -- expressed as the ratio of
exports plus imports to gross domestic product -- have
positive effects on productivity growth. In Romania a 10
percent increase in openness to global trade over 1995-2010
would have boosted productivity growth by 9.7 percent per
year. A 10 percent increase in openness to European Union
trade, in particular, would have led to an annual increase
in productivity of 7 percent. Realizing the benefits from
trade integration depends to some extent on regulation. In
this regard, the effects of regulation on productivity
growth are found to be positive, regardless of the indicator
used to measure regulation, and both through direct and
indirect channels (by increasing the speed at which a
country catches up with productivity leaders). Simulation
results also show how countries with different levels of
regulatory quality would benefit from a regulatory
improvement: had Romania improved its regulatory environment
to the same level as Denmark in 2010, its annual
productivity growth would have been 14 percent higher over 1995-2010. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
De Rosa, Donato Iootty, Mariana Pirlea, Ana Florina |
| author_facet |
De Rosa, Donato Iootty, Mariana Pirlea, Ana Florina |
| author_sort |
De Rosa, Donato |
| title |
Regulation, Trade and Productivity in Romania : An Empirical Assessment |
| title_short |
Regulation, Trade and Productivity in Romania : An Empirical Assessment |
| title_full |
Regulation, Trade and Productivity in Romania : An Empirical Assessment |
| title_fullStr |
Regulation, Trade and Productivity in Romania : An Empirical Assessment |
| title_full_unstemmed |
Regulation, Trade and Productivity in Romania : An Empirical Assessment |
| title_sort |
regulation, trade and productivity in romania : an empirical assessment |
| publisher |
World Bank, Washington, DC |
| publishDate |
2013 |
| url |
http://documents.worldbank.org/curated/en/2013/06/17895959/regulation-trade-productivity-romania-empirical-assessment http://hdl.handle.net/10986/15854 |
| _version_ |
1764431631654846464 |