Finicelli, Andrea; Pagano, Patrizio; Sbracia, Massimo - Banca d'Italia - 2009
We introduce a novel methodology to measure the relative TFP of the tradeable sector across countries, based on the … relationship between trade and TFP in the model of Eaton and Kortum (2002). The logic of our approach is to measure TFP not from … estimate the TFP of each country's manufacturing sector from 1985 to 2002. Our measures are easy to compute and, with respect …