State productivity growth in agriculture : catching-up and the business cycle Articles uri icon

publication date

  • December 2014

start page

  • 327

end page

  • 338

issue

  • 3

volume

  • 42

International Standard Serial Number (ISSN)

  • 0895-562X

abstract

  • This paper examines the relation between the business cycle and convergence in levels of agricultural productivity across the 48 contiguous states. First, we find evidence of convergence in total factor productivity levels across the different phases of the business cycle, but the speed of convergence was greater during periods of contraction in economic activity than during periods of expansion. Second, we find that technology embodied in capital was an important source of productivity growth in agriculture. As with the rate of catch-up, the embodiment effect was much stronger during low economic activity phases of the business cycle

keywords

  • agriculture; convergence; total factor productivity