This paper documents the results from a macroeconomic total factor productivity analysis with a special focus on disentangling efficiency change and technological change under variable returns to scale. A sample of 93 countries is investigated by nonparametric methods. For the measurement three...

Empirical evidence illustrates that diversity generates both economic costs and benefits. This paper develops a theoretical model that accounts for the positive and deleterious effects of heterogeneity. First, an expanded Solow Growth Model demonstrates that the direct effects of diversity can...