Total factor productivity and the significance of the public sector

Šlander Wostner, Sonja (author), Križanič, France (author), Brezovnik, Boštjan (author), Vojinović, Borut (author)

It is typical in the modern world that most economic growth is explained by an increase in total factor productivity, commonly accompanied by the rise of real capital. After the last financial crisis, Slovenia was specific in the growth of total factor productivity between 2009 and 2019 in that the 44 analyzed industries substituted the decline of net real values of fixed capital, associated with a large contraction in bank loans to non-financial corporations. During this period, Slovenia’s total factor productivity strengthened due to increases in innovative potential, human capital (employees with higher education), and the share of foreign trade in Slovenia’s GDP. The public sector played an important role in this, as the increase in innovation potential and human capital was the result of the increase in the real level of Slovenian Export and Development Bank loans to enterprises and from extensive EU Structural and Cohesion Funds placements. The growth of innovation potential was influenced by the rise in the number of full-time researchers, and the increase in human capital was influenced by the economic climate in the EU.

• Language: English
• Keywords: total factor productivity, fiscal policy, European Union, gross domestic product, capital, EU, GDP, fiscal policies
• Work type: Article
• Typology: 1.01 - Original Scientific Article
• Organization: EF - School of Economics and Business
• Publication status: Published
• Publication version: Version of Record
• Year: 2023
• Number of pages: Str. 118-132
• Numbering: No. 69
• PID: 20.500.12556/RUL-151961
• UDC: 338
• ISSN on article: 1842-2845
• DOI: 10.24193/tras.69E.7
• COBISS.SI-ID: 157274883

Copyright

Na spletni strani založnika navedeno, da članki izhajajo pod licenco CC BY 4.0

• Publication date in RUL: 26.10.2023

Record is a part of a journal

• Title: Transylvanian review of administrative sciences
• Publisher: Babes-Bolyai University, Faculty of Political, Administrative and Communication Sciences
• ISSN: 1842-2845
• COBISS.SI-ID: 2605230

Licences

• License: CC BY 4.0, Creative Commons Attribution 4.0 International
• Link: http://creativecommons.org/licenses/by/4.0/
• Description: This is the standard Creative Commons license that gives others maximum freedom to do what they want with the work as long as they credit the author.

Secondary language

• Language: Slovenian
• Keywords: skupna faktorska produktivnost, fiskalna politika, Evropska unija, kapital, bruto domači proizvod

Projects

• Funder: ARRS - Slovenian Research Agency
• Project number: P5-0287-0541-18