This paper uses panel cointegration and error correction models to unveil the direction of long-run causality between the real product wage and labor productivity at the industry level. I use two datasets of manufacturing industries: the EU-Klems dataset covering 11 industries in 19 developed...

Private and collective enterprises are expected to increase overall efficiency in transitional China, partly because they are more efficient than state owned enterprises. More importantly, this paper argues, they induce efficiency gains in state owned enterprises and the economy as a whole....