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    • Distortions in the investment goods sector and productivity decline 

      Ferreira, Pedro Cavalcanti; Pessôa, Samuel de Abreu; Veloso, Fernando A.
      2014-08-14
      We study the impact of distortions in the investment goods sector on aggregate total factor productivity (TFP). We develop a two-sector neo-classical growth model in which TFP in the capital goods sector relative to TFP ...