Factor shares at the sector level, Colombia 1990-2005


Autoria(s): Zuleta Gonzalez, Hernando; Garcia-Suaza, Andres; Young, Andrew
Data(s)

2009

Resumo

In general, empirical studies on economics rely on the assumption of constant capital share of income both at the aggregate level and at the sector level. However, there is no empirical evidence supporting the constancy of capital share at the sector level. In this paper, using Colombian data, we measure capital share for 48 sectors during the period 1990-2005. We also explore the relation between capital's share and factor prices and the behavior of capital share during the business cycle. The main results are the following: (i) capital share is not constant but, rather, has an increasing trend; (ii) capital shares growth rates positively correlate with sector value-added growth; (iii) the capital shares behave pro-cyclically; and (iv) there is a positive correlation between capital shares and real wages and a negative correlation between capital shares and interest rates. These results suggest that the usual assumption of constant factor shares is not accurate.

Formato

application/pdf

Identificador

http://repository.urosario.edu.co/handle/10336/11012

Idioma(s)

spa

Publicador

Facultad de Economía

Relação

Serie documentos de trabajo. No 76 (Noviembre 2009)

https://ideas.repec.org/p/col/000092/006120.html

Direitos

info:eu-repo/semantics/openAccess

Fonte

instname:Universidad del Rosario

reponame:Repositorio Institucional EdocUR

instname:Universidad del Rosario

Palavras-Chave #Economía #Capital - Aspectos económicos #Economía informal #Ciclos económicos #Tasas de interés #332.041 #Factor Shares #income distribution #Colombia #economic growth #cycles
Tipo

info:eu-repo/semantics/book

info:eu-repo/semantics/acceptedVersion