Korean Productivity Data,

Transcription

1 (c) 1996, Dorsati H. Madani Korean Productivity Data, Pacific Rim Business and Development Program Institute of Governmental Affairs University of California, Davis Davis, CA This database may be used for non-commercial educational and research purposes only; use of the data for profit is prohibited. This data may not be copied, modified or transferred whole or in part. THE REGENTS OF THE UNIVERSITY OF CALIFORNIA MAKES NO WARRANTY RESPECTING THE ACCURACY OF THE DATABASE NOR THE RESULTS TO BE OBTAINED FROM USING SUCH DATABASE FOR INTENDED PURPOSES OR ANY OTHER PURPOSE. A. INTRODUCTION AND NOTICE TO USERS The Korean productivity database was originally created by William Zeile spanned It has been updated to span The database is specifically developed for this research and insofar as possible it can serve as a starting point for longitudinal studies of business and economic development of Korea, as well as other research projects with different theoretical concerns. Notice to Users This dataset is made available to the academic community for not-for-profit educational and research applications. Use of the data, either directly or indirectly, for profit is prohibited. Data must be requested in writing. In addition, individuals receiving and using these data are strongly urged to inform the Institute for Governmental Affairs Library of errors and discrepancies that are discovered in the course of using these data. Users are particularly urged to contact the Library about problems and difficulties which prevented effective and convenient use of the data. Users are also asked to provide information as to significant subsets and special aggregations that are developed using these data. Finally, in order to provide agencies with essential information about the use of archival sources and to facilitate the exchange of information about research activities, each user is expected to send two copies of each completed manuscript (or these abstract) to the Library. This information should be addressed to Jean Stratford, Director of the Research Services, Institute of Governmental Affairs, University of California, Davis CA Finally, the authors make no warranty with respect to the accuracy of data furnished hereunder nor the results to be obtained from using such data for intended or other purposes. To

2 2 this end, users are required to include the following disclaimer in the documentation for their study(ies): "The data utilized in this (publication) were made available in part by the Institute of Govermental Affairs Library. The "Korean Productivity data" were originally collected by William Zeile of the Research Archive and later extended by Dorsati Madani. Neither the original source nor collectors of the data, nor the Research Archive bear any responsibility for the analysis or interpretations presented here." B. TECHNICAL INFORMATION Data set up and sources: The data spans and comprises 52 Korean industries, which are labeled based on the KSIC(Korean standard industrial organization, 1984). In order to facilitate the use and processing of data, the data is set up in several layers : I. R KSIC#.xls files are industry specific and recognized by their KSIC number. These files are constituted of two sets of data series: raw and calculated: 1. The raw data series is the data series that has been: a. either copied into these from the MP#.XLS ( intermediate input prices files- discussed later), the K#.XLS (capital files -discussed later). such series include: mid-year capital stock series for each industry (K#), intermediate input price series (J#). b. or entered directly into these R#.xls files from original publications, such as: labor remuneration (ER#), nominal gross output(g#), value added(va#), number of workers (L#),intermediate inputs (M#). These series all come from the Mining and Manufacturing Surveys 1987, 1989, 1990, 1991 and Mining and Manufacturing Census All publications are put out by Bank of Korea. Wholesale price index (P#) comes from Bank of Korea s Price Statistics Summary 1987 and 1992 volumes. 2. The calculated series are the ones that result from some manipulation of the raw data. For example: KSHR, LSHR and MSHR are the results of dividing each year of series L# and M# by the corresponding gross output G#. KSHR = 1-(LSHR + MSHR). KAVSHR (LAVSHR, MAVSHR) and KSAR (LSAR, MSAR) are the same series: average share of K (L, M) over two years. ie: KAVSHR(t) = KSAR(t) = [KSHR(t)+KSHR(t-1)]/2. nominal and real growth rates are all calculated within the R#.XLS files for each industry.

3 3 NOTE: The complete list of industry names and SIC numbers, along with the variables found in the R KSIC#.xls files, appears at the end of this document. II. MP#.XLS files contain intermediate input prices for each of the 52 industries. Sources: -Price Statistics Summary, Price Statistics Summary Economic statistics Yearbook, 1987 to All books are published by Bank of Korea. Procedure: 1. For a majority of the industries (38 of them), the file NEWPMAT.XLS was created. For 18 sub-sectors listed, I recorded price variations for 1972 to 1991 of f of the books mentioned. Then for all the 38 normal industries, this 20 by 18 table was copied into their MP#.xls (MP stands for intermediate input price) files along with the final 18 by 20 matrix (lower table) from the W#.xls file. Then matrix multiplication was performed and the final intermediate input price series ends up being the diagonal elements of the resulting matrix. The diagonal elements are copied over into a column and transferred to the final holding file: R#.xls where all the data series related to each industry is stored. NEWPMAT.xls file can be found on accompanying diskette. MP#.xls and W#.xls can be found under: wgt&mp diskette. R#.xls can be found on accompying diskette. 2. The computer files W#.xls and MP#.xls for the 14 special industries are stored in the subdirectory: wgt&mp\special. Since for these industries we have disaggregated intermediate inputs further than the typical 18 categories in the W#.xls files, we need to match these with appropriate disaggregations for the intermediate input prices. Special intermediate input price files are labeled: NEWPMAT2.xls to NEWPMAT6.xls and are stored on diskette. NEWPMAT2.xls is for industries: dairy products, processed fruits and vegetables, grain mill products, condiments, miscellaneous food products and lumber products. NEWPMAT3.xls is for industries: coal products, ceramics, structural clay products, cement, concrete and miscellaneous mineral products, and non-ferrous metals. NEWPMAT4.xls is for petroleum refining NEWPMAT5.xls is for industries: Basic chemicals, Chemical fertilizers and pesticides. NEWPMAT6.xls is for sugar refining. Each of these files contains calculations and explanations leading to the final table. There are several pages of hand written notes as well (in the manila folder intermediate input price files: mp#.xls).

4 4 Once these price tables were completed the procedure was applied to them as to the normal industries: i.e. matrix multiplication in excel file MP#.xls and copying of the final intermediate input prices series to appropriate R#.xls. III. W#.XLS : intermediate inputs WEIGHTS Sources: Bank of Korea s 1983, 1988 and 1990 Input-Output Tables. Procedure: 1. correspondence tables were constructed to ensure correct categorization of industries and intermediate inputs between 1983, 1988 and For each industry, data was extracted from these output tables based on industry identification numbers and the 18 (sometimes expanded beyond 18 - see details below) intermediate inputs that fed into these industries. The data therefore was extracted from tables with different levels of aggregation: from the 65x65 I/O table(75x75 for 1990), from the 161x161 I/O table (163x163 for 1990), from the 402x402 I/O (405x405 for 1990). See hand written tables for 1988 and 1990 in manila folder entitled weight(shares). 3. Once the data was obtained, the following excel files were created: iotbl88.xls and iotbl90.xls. They contain all the calculations attached to the creation of the data for intermediate share calculations. 4. ratios88.xls and ratios90.xls contain the intermediate shares that are the results of calculations done in the iotbl*.xls files. 5. The information column for each industry is then copied from the ratios88.xls and ratios90.xls files into each industry W#.xls files and the calculations done by Zeile are therefore extended from 1985 to Note that the data for the years between , are created by linear interpolation. For 1991, linear extrapolation was used. At any time when interpolation or extrapolation led to a negative value in the column, the whole column was replaced by the values of the closest (non-negative) column. 6. NOTE: for 14 industries, Zeile had disaggregated the 18 intermediate inputs further. I did the same, following his instructions as closely as possible. Information on the these industries can be found in the manila folder titled Weight shares. Furthermore, in the W#.xls file of each of these industries, I have included some information and instruction on the right hand side of the lower table. IV. K#.XLS : capital stock. Sources: 1. Report Mining and Manufacturing Survey, 1987, 1989, 1990, 1991; Report on Mining and Manufacturing Census, 1988.

5 5 These books provide the nominal investment series for three types of asset categories: building and structures (BS), machinery and equipment (ME) and vehicles (VS). These series are titled: INABS, INAME, INAVS. 2. Bank of Korea s Economic Statistics Yearbook, various years. These books provide us with the implicit price deflator for our three asset categories. For each asset category, we calculate the implicit price deflator as the ratio of nominal to real (1980=100) gross capital formation. Then, for each of the 52 industries, these 3 price series are applied to the INABS, INAME, INAVS to get the real investment series IRBS, IRME, IRVS. 3. The depreciation schedule for these investment series comes from table A.3 of William Zeile s dissertation. They are determined by asset category and 2 digit industry levels. These depreciation schedules PIMBS, PIMME and PIMVS are used together with the IRBS, IRME and IRVS series in a modified version of the Goldsmiths perpetual inventory method to obtain capital stock series KBS, KME and KVS for each of the industries. For a formulation of the Goldsmiths s perpetual inventory, see Zeile s dissertation pg. 30. For an actual calculation, see the 3 matrix multiplications and summations done in each of the 52 K#.xls industry files. Total end of the year annual capital stock, KTL = KBS+KME+KVS Mid year annual capital stock for each industry (identified by a number) is therefore: K# = [ KTL(t)+KTL(t-1) ]/2. This final series is transferred to the general files R#.xls of each industry and used in the later calculations for TFP. V. Wholesale prices Sources: -Price Statistics Summary, Price Statistics Summary Economic statistics Yearbook, 1987 to All books are published by Bank of Korea. Procedure: 1. For many of the industries, the new wholesale price index series was just identified in the 1992 price statistics summary and entered directly into the final holding file R#.xls under the series name P#.xls. 2. Other industries wholesale price index data needed manipulation and therefore, an excel file containing all these special series was created and titled: PPISPCL.xls. This file can be found in accompanying diskettes. The following general rules were followed in processing the price series in PPISPCL.xls: a. In cases where data existed and only needed to be re-indexed, the re-indexation from 1985=100 to 1990=100 was done. b. In cases where data for earlier years did not exist the following was used: a weighted average growth rate of other sub-categories in the industry was calculated and used backwards to create the earlier years.

6 6 c. Partial concordance was necessary in cases where existed in 1985 =100 base (in volume 1987) and existed in 1990=100 (in volume 1992). Then earlier data was reindexed to 1990=100 using 1985 entry (with 1985=100) and 1985 entry ( with 1990=100). d. In general, I tended to use the newer data provided by the 1992 volume whenever there was disagreements and mis-concordance with the hope that newer data sets would be more accurate. e. For Shipbuilding and Repair industry, the wholesale price index has completely disappeared. So the overall transportation price series was used as a proxy.

7 List of 52 Korean industries: A Food products, nec 3112 Dairy products 3113A Canned foods 3116 Grain mill products 3117 Bakery Products 3118 Sugar Refining 3121 Condiments 3131A Alcoholic beverages 3134 Non-alcoholic beverages 3211A Textile spinning and weaving 3214A Textiles, nec Knitting mills 322 Wearing apparel 323 Basic leather products 324 Leather footwear 331 Lumber products 332 Wood products 341 Paper & paper products 3511A Basic chemicals 3515A Chemical fertilizers & pest 3521 Paints, varnishes & lacquers 3522 Drugs & medicines 3523 Soaps & cosmetics 3529 Chemical products, nec 353 Petroleum refining 354 Coal products 355 Rubber products 356 Plastic products, nec 361 Ceramics 362 Glass products 3691A Structural clay products 3692 Cement, Lime & Plaster 3693A Concrete & misc. mineral prod 371 Iron & Steel 372 Non-ferrous metal 3811 Cutlery & hardware 3812 Metal furniture 3813 Structural metal products 3821 Engines & turbines 3822A Machinery nec Metal & woodworking mach Special indus. machinery 3831 Electrical industrial machinery 3832A Electronic equip. & parts 3833 Electrical appliances 3839 Electrical equipment, nec 3841 Shipbuilding & repair 3842A Transport equip. nec 3843 Motor vehicles & parts 3851A Precision instruments 3853 Watches and clocks 39 Misc. manufacturing

8 8 List of variables in R KSIC#.xls: Documentation Content of a Typical R KSIC#.xls file Example Used: R3112 J3112 = computed price index for intermediate goods M3112 = value of intermediate input, nominal millions of won ER3112 = employee remuneration (industry level), nominal millions of won G3112 = value of gross output( industry level), nominal millions of won K3112 = computed mid-year capital stock L3112 = number of workers P3112 = price industry level, 1990=100 VA3112 = value added, millions of nominal wons KAVSHR KSHR LSHR MSHR K/L DJ3112 DM3112 R3112 RG3112 RK3112 RM3112 RL3112 = KSAR = 1/2 (KSHRt + KSHR t-1) (same definition holds for MAVSHR AND LAVSHR) = 1 - LSHR - MSHR = ER3112/G3112 = M3112/G3112 = CAPITAL TO LABOR RATIO = ln(j3112)t -ln(j3112) t-1, rate of change in price index for intermediate inputs = ln(m3112)t -ln(m3112) t-1, nominal growth rate of intermediate input = real growth rate of gross output = ln(g3112)t -ln(g3112) t-1, nominal growth rate of gross output = rate of growth in capital stock = real growth rate of intermediate inputs = rate of growth in number of workers (same formula holds for RK3112, RL3112, RM3112, RP3112)