Historical Social Research: An International Journal for the Application of Formal Methods to History, 35(1) pp 363-372

Mae'r cynnwys hwn ar gael yn Saesneg yn unig.

This paper studies persistence properties of total factor productivity (TFP) from Bayesian perspective. Emphasizing that classical unit root test for TFP cannot determine the probability whether a stochastic shock to the series is permanent, we design a Bayesian unit root test for TFP. Examination for a set of African economies’ TFP data show that the probability of having a unit root is very high for majority of countries. The evidence of high-persistence has implications for perpetual growth and business cycles.