PRODUCTIVITY CHANGES OF ASIAN ECONOMIES BY TAKING INTO ACCOUNT SOFTWARE PIRACY

Authors

  • CHERNG G. DING,

    1. Ding: Professor, Institute of Business and Management, National Chiao Tung University, 118 Chung-Hsiao West Road, Section 1, Taipei, 100, Taiwan. Phone 886-2-2349-4932, Fax 886-2-23494922, E-mail cding@mail.nctu.edu.tw
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    • *

      We thank Jin-Li Hu, Erwin T. J. Lin, Shih-Fang Lo, and Wen-Min Lu for helpful discussions. We also thank an anonymous referee for constructive comments and suggestions. This research was partially supported by the National Science Council of Taiwan, R.O.C.

  • NA-TING LIU

    1. Liu: Assistant Professor, Department of Business Administration, Ming Chuan University, 250 Chung-Shan North Road, Section 5, Taipei, 111, Taiwan. Phone 886-2-2882-4564 ext. 2880, Fax 886-2-28809727, E-mail nating@ms55.hinet.net
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    • *

      We thank Jin-Li Hu, Erwin T. J. Lin, Shih-Fang Lo, and Wen-Min Lu for helpful discussions. We also thank an anonymous referee for constructive comments and suggestions. This research was partially supported by the National Science Council of Taiwan, R.O.C.


Abstract

For the past two decades, the fast-developing Asia has emerged as one of the most important economic regions. However, its economic growth is accompanied with severe software piracy. This paper analyzes productivity changes of 11 Asian economies and 4 non-Asian industrialized economies by taking into account software piracy using the Malmquist productivity index and its two components, efficiency change and technical change over the period 1994–2002. The results indicate that when software piracy is included, productivity growth in Asian developing economies regresses, while productivity growth in the four non-Asian industrialized economies improves. Interpretation and implications are provided. (JEL L86, O34)

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