Explain differences with Kaukin and Zhemkova (2023) #6
Description
Our replication of a study estimating production function of Russian manufacturing firms in 2012-2018 by Kaukin and Zhemkova (2023) revealed unrealistic capital elasticities.
| industry | labour | capital |
|---|---|---|
| 01. Food, beverages, and tobacco | 0.78 | 0.09 |
| 02. Textiles and textile products | 0.83 | 0.03 |
| 03. Wood and products of wood and cork | 0.74 | 0.05 |
| 04. Pulp, paper, printing and publishing | 0.82 | 0.07 |
| 05. Coke, refined petroleum | 0.73 | -0.04 |
| 06. Chemicals and chemical products | 0.72 | 0.02 |
| 07. Pharmaceutical products | 0.82 | 0.20 |
| 08. Rubber and plastics | 0.79 | 0.09 |
| 09. Other non-metallic mineral | 0.69 | 0.05 |
| 10. Basic metals | 0.63 | 0.06 |
| 11. Fabricated metals | 0.75 | 0.05 |
| 12. Electrical and optical equipment | 0.83 | 0.12 |
| 13. Electrical equipment | 0.78 | 0.01 |
| 14. Machinery, not elsewhere classified | 0.74 | 0.04 |
| 15. Transport equipment | 0.69 | 0.16 |
| 16. Furniture | 0.84 | 0.07 |
| 17. Manufacturing, not elsewhere classified | 0.81 | -0.01 |
| 18. Equipment repairs and installation | 0.85 | 0.00 |
We provide 5 explanations for the apparent failure to replicate KZ exactly:
- Data differences between Orbis and the RFSD
- Differences in sample restrictions
- Differences in deflators
- Value added definition
- Proxy variable
Thank you for any contributions.