Author(s)

Wilman Arturo Gómez Muñoz¹, Carlos Esteban Posada Posada², Remberto Rhenals Monterrosa¹

¹Economics Department at Universidad de Antioquia, Medellín, Colombia.
²School of Economics and Finance at Universidad EAFIT, Medellín, Colombia.

The objective of this paper was to explain the greater or lesser growth rate of total factor productivity, TFP, in the main East Asian and Latin American economies between 1960 and 2015. We found econometric evidence favorable to this hypothesis: the increase in public consumption expenditures, given the evolution of other factors, reduces the TFP. Other results of the econometric exercise, those that are related to hypothetical positive effects of public investment and imports on TFP were not as robust or as reliable as we would have expected.

Per Capita GDP’s Growth Rate, Total Factor Productivity, Physical Capital, Human Capital, Public Consumption, Public Investment, Imports, Panel Cointegration

Gómez Muñoz, W. , Posada Posada, C. and Rhenals Monterrosa, R. (2020) Determinants of Multifactor Productivity: The Cases of the Main Latin American and Successful Asian Economies (1960-2015). Theoretical Economics Letters, 10, 803-833. doi: 10.4236/tel.2020.104049.