DTFP

AcronymDefinition
DTFPDrug Treatment Funding Program (Health Canada)
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The state variables are market excess returns (RmRf), dividend yield (DIV), default premium (DEF), term premium (TERM), risk-free rate (RF), realized variance (RV), labor income growth (LIG), and total factor productivity growth (DTFP).
Change in real chained quarterly GDP (DGDP), Bureau of Economic Analysis (2014) Table 4 VARs for outflows subsample with total factor productivity VAR 1 Specification Structural breaks Variable DUR UR DTFP C -0.060 -0.060 2.478 ** (0.058) (0.058) (1.096) UR(-1) -0.067 *** 0.933 *** 0.310 ** (0.009) (0.009) (0.167) DUR(-2) 0.130 *** 0.130*** 0.963 (0.035) (0.035) (0.661) DTFP(-1) -0.005 -0.005 -0.037 (0.005) (0.005) (0.085) SB594 0.240 *** 0.240 *** -1.806 ** (0.044) (0.044) (0.832) SB844 0.316 *** 0.316 *** -3.071 *** (0.045) (0.045) (0.846) QUARTER [R.sup.2] 0.417 0.990 0.132 Adj.
If the rate of depreciation of knowledge capital is assumed to be negligible, TFP growth (DTFP) is a function of the "intensity" of R&D investment (RDINT), which is usually measured as the ratio of R&D expenditure to sales: (1) DTF [P.sub.t] = [Alpha] + [Beta] RDIN [T.sub.t] + [u.sub.t] where [u.sub.t] is a classical disturbance term.