Export Growth, Capacity Utilization and Productivity Growth: Evidence from Canadian Manufacturing Plants
John R. Baldwin, Wulong Gu, Beiling Yan
Abstract
John R. Baldwin, Wulong Gu, Beiling Yan
Abstract
Labour productivity growth in the Canadian business sector slowed substantially after 2000. Most of the slowdown occurred in the manufacturing sector. This paper examines how this slowdown was associated with the restructuring that occurred in manufacturing as a result of the increase in excess capacity, the dramatic increase in the Canada-U.S. exchange rate and a slowdown in export growth.
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Labour productivity growth in the Canadian business sector slowed substantially after 2000. Most of the slowdown occurred in the manufacturing sector. This paper examines how this slowdown was associated with the restructuring that occurred in manufacturing as a result of the increase in excess capacity, the dramatic increase in the Canada-U.S. exchange rate and a slowdown in export growth.
Key concepts: Slowdown, Restructuring, Productivity, Manufacturing sector, Economics, Capacity utilization, Economic slowdown, International economics