Africa Region Working Paper Series No. 41

An Industry Level Analysis of Manufacturing Productivity in Senegal

Ahmadou Aly Mbaye

Abstract

In this study, we seek to analyze sectoral patterns in manufacturing productivity in Senegal. Productivity is measured both as labor productivity and total factor productivity and this latter is computed allowing both for increasing returns to scale and for differences in production function across sectors.

Our results show that for most industries, productivity has dramatically decreased in Senegal over the sample period and relative to comparison countries. Education and openness to trade are found to have a critical impact on both productivity level and growth rate.

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