TFP, labor productivity and the (un)observed labor input: Temporary agency work

Arbeitspapier

The study focuses on the question of whether productivity estimates are biased due to the emergence of a new input that is usually omitted: temporary agency worker (TAW). The study analyzes labor productivity and TFP by means of a structural approach using a representative dataset of German manufacturing firms. The empirical results show, once TAW is taken into account, that: i) labor productivity in most manufacturing sectors is significantly lower; ii) average TFP differs significantly in most sectors; but iii) the coefficients for regular labor are not significantly different between estimations with and without TAW.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: DIW Discussion Papers ; No. 1532

Classification and Topics

• Classification: Wirtschaft ; Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity ; Human Capital; Skills; Occupational Choice; Labor Productivity ; Contracting Out; Joint Ventures; Technology Licensing ; Industry Studies: Manufacturing: General
• Subject: temporary agency work ; total factor productivity ; labor productivity ; omitted variable bias ; structural productivity estimation

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Schiersch, Alexander
• Event: Veröffentlichung
• (who): Deutsches Institut für Wirtschaftsforschung (DIW)
• (where): Berlin
• (when): 2015

Further information

• Handle: http://hdl.handle.net/10419/126105
• Last update: 10.03.2025, 11:43 AM CET