Industrial Diversification and Its Impact on Productivity Growth in Taiwan's Electronics Industry
Journal
Asian Economic Journal
Journal Volume
19
Journal Issue
4
Pages
423-443
Date Issued
2005
Date
2005
Author(s)
Abstract
The present study attempts to link plant-level production diversification to productivity growth in Taiwan's electronics industry. An account of the role of the Taiwanese government over the last 2 decades leading to the take-off of its electronics industry is briefly discussed. We reviewed production activities of more than 20 000 Taiwanese electronics plants during the period 1992-1999. In an inter-industry comparison, we find that at the four-digit and seven-digit industry levels, Taiwanese electronics production plants exhibit a significantly higher degree of product diversification than plants in the manufacturing sector as a whole. Econometric results positively identify diversification as a source of significant productivity growth across all electronics plants classified in the related industry groups. ? 2005 East Asian Economic Association.
SDGs
Other Subjects
electronics industry; industrial production; productivity; Asia; Eurasia; Far East; Taiwan
Type
journal article
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