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This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Article
Measuring I/O-Production in Digital Economy
Author(s)
Jean-François Emmenegger
Hassan Ahmed Nour Eldin
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DOI:10.17265/1537-1506/2023.01.002
Affiliation(s)
University of Fribourg, Switzerland
Bergische Universität Wuppertal, Germany
ABSTRACT
According to OECD standards (United Nations, 2008), “productivity is commonly defined as a ratio of a volume measure of output to a volume measure of input use”. This ratio indicates how efficiently production inputs, such as labour and capital, are being used in an economy to produce a given level of outputs. Productivity stays aside the main aggregates of national accounts, as the national income (a proxy of GDP), the total output and the circulating capital. Assume the existence of a Leontief-type national Input-Output Table with the vector of total output and the vector of intermediate inputs, situated on its right and lower border. In this paper a measure of capital productivity is proposed. It is called the productiveness, and results from the solution of a boundary value problem, elaborated for Input-Output Tables, involving the vector of total output and the vector of intermediate inputs.
KEYWORDS
Input-Output Table (IOT), productiveness, commodity flow matrix, Perron-Frobenius theorem, Frobenius number, eigenvectors
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