Why Do Some Countries Produce So Much More Output per Worker than Others?

Why Do Some Countries Produce So Much More Output per Worker than Others?

Output per worker varies enormously across countries. Why? On an accounting basis, our analysis shows that differences in physical capital and educational attainment can only partially explain the variation in output per worker — we find a large amount of variation in the level of the Solow residual across countries. At a deeper level, we document that the differences in capital accumulation, p...

Why do South Korean firms produce so much more output per worker than Ghanaian ones?

The labour productivity differentials between manufacturing firms in Ghana and South Korea exceed those implied by macro analysis. Median value-added per employee is nearly 40 times higher in South Korea than Ghana. The most important single factor in explaining this difference is the Mincerian return to skills which differ by a factor of three between Ghana and South Korea. There is no signifi...

Why Do Some Universities Generate More Start-ups than Others

The results of this study provide insight into why some universities generate more new companies to exploit their intellectual property than do others. We compare four different explanations for cross-institutional variation in new firm formation rates from university technology licensing offices (TLOs) over the 1994–1998 period—the availability of venture capital in the university area; the co...

Why do some fish fight more than others?

Reversible changes in how readily animals fight can be explained in terms of adaptive responses to differences in the costs and benefits of fighting. In contrast, long-term differences in aggressiveness raise a number of questions, including why animals are consistent with respect to this trait, why aggressiveness is often linked to general risk taking, and why aggressive and nonaggressive anim...

Why Do Some Countries Default More Often Than Others? The Role of Institutions