Why Does Misallocation Persist?

• 成果类型: Article
• 署名作者: Banerjee, Abhijit V.; Moll, Benjamin
• 署名单位: Massachusetts Institute of Technology (MIT); University of Chicago
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MACROECONOMICS
• ISSN/ISSBN: 1945-7707
• DOI: 10.1257/mac.2.1.189
• 发表日期: 2010
• 页码: 189-206
• 关键词: Occupational choice; optimal-growth; DYNAMICS

摘要

Recent papers argue that the misallocation of resources can explain large cross-country TFP differences. This argument is underpinned by empirical evidence documenting substantial dispersion in the marginal products of resources, particularly capital, in developing countries. But why does misallocation persists? That is, why don't distortions disappear on their own? This is particularly true for capital misallocation, a point we illustrate in a simple model of capital accumulation with credit constraints. We distinguish between misallocation on the intensive and the extensive margin, and show that the former should disappear asymptotically under general conditions, while the latter may persist. We conclude by discussing possible theories of persistent misallocation. (JEL D24, E22, G31, G32, L26)