Dr Michał Gradzewicz (NBP & SGH) as a Speaker at the WES
Dr Michał Gradzewicz (Warsaw School of Economics - Department of Quantitative Economics & National Bank of Poland) will deliver a lecture as part of the Warsaw Economic Seminar series, co-organised by the Faculty of Economic Sciences and the Warsaw School of Economics.
The seminar, titled „How large is misallocation of resources in the Polish economy?”, will take place on 20 November at 17:00 in room B104 at the Faculty of Economic Sciences. The speaker’s research focuses mainly on the effectiveness of production processes, economic fluctuations, the labour market and various macroeconomic and econometric issues.
Below we present an abstract of the presentation.
The paper studies how large is the deviation of Poland’s allocation of labor and capital from an efficient benchmark and how it has evolved over three decades. The study uses the annual Polish enterprise census for firms employing 10+ FTEs, covering ca. 80% of economy's output over years 1993–2023. Resource misallocation in the whole economy rises from the early 2000s, with implied output gains from removing wedges of 30–40% in the 1990s, 50–60% in the 2000s–2010s, and around 70% in the 2020s, indicating substantial and growing dispersion in marginal revenue products within industries. The rising trend is robust to changes in the identification scheme: using gross output instead of value added, measurement of labor, industry granularity, and technology parameters. The analysis indicate that business dynamics is an important factor behind the upward trend of misallocation. Moreover, the rising trend in misallocation is observed in services rather than in manufacturing. Factors associated with lower misallocation (i.e., growth toward efficient size) include middle size, non-exporter status or lower export shares among exporters, higher productivity, higher profitability, and absence of subsidies; notably, several determinants (size, productivity, subsidization) have opposite signs in regressions explaining realized growth, helping reconcile why reallocation of resources contributes positively to TFP growth even as misallocation rises.
The seminar is organised by Prof. Anna Nicińska, Prof. Jacek Lewkowicz, Prof. Łukasz Woźny, Eliza Hałatek and Dr Michał Lewandowski.
More information about the seminar series is available on the dedicated website: https://sites.google.com/site/warsaweconseminars/
For those interested in contacting the organisers, please use the following email address: MV=-&UBv$XpiDEe7'%2TC@Pz{udL.6]#[E4-{eMK\dH_r4%S{qc!HZ~=\ebm+x~