Estimating the Production Function for Fiji

Taupo, Tauisi (2008) Estimating the Production Function for Fiji. University of the South Pacific, School of Economics Working Paper Series.

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Abstract

Since the production function is a crucial macroeconomic relationship, it is the purpose of this paper to estimate the production function for Fiji applying General to Specific (GETS) and Fully Modified Ordinary Least Squares (FMOLS) time series techniques. This paper also examines the effects of trade openness on the growth rate of a small island economy like Fiji. The stability test shows that the production function for Fiji is temporally stable. The outcome estimates of capital share for Fiji was computed to be 0.19, labor share of 0.81 while trade share stands at 0.002 which are statistically significant with correct signs. Estimated results are consistent with both prior studies and the method engaged. However, they may differ in their precision but only marginally.

Item Type:	Other
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HB Economic Theory
Divisions:	Faculty of Business and Economics (FBE) > School of Economics
Depositing User:	Tauisi Taupo
Date Deposited:	01 Oct 2018 00:00
Last Modified:	01 Oct 2018 00:02
URI:	https://repository.usp.ac.fj/id/eprint/11019

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