01898cas a2200241 a 4500 AALejournalIMF014935 230101c9999 xx r poo 0 0eng d 5.00 USD 9781498358088 1018-5941 BD-DhAAL BD-DhAAL Vargas, Mauricio. Identifying Binding Constraints to Growth : Does Firm Size Matter? / Mauricio Vargas. Washington, D.C. : International Monetary Fund, 2015. 1 online resource (48 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students As emphasized by Hausmann, Rodrik and Velasco, the policy challenge of boosting growth requires prioritization and identifying what are the most binding constraints. This paper draws on firm-level data from the World Bank Enterprise Survey, which suggests that the obstacles for the functioning of firms is related to firm size. Recognizing the potential endogeneity and simultaneity between firms' constraints and firm size, we implement an Ordered-Probit model with a potential categorical endogenous regressor to estimate, for the case of Bolivia, the conditional probability of facing obstacles given the firm size category, while controlling for other factors. The results confirm the importance of allowing for the roles of firm size in identifying constraints and suggest priorities for policies to remove constraints to economic performance. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2015/003 Full text available on IMF http://elibrary.imf.org/view/journals/001/2015/003/001.2015.issue-003-en.xml IMF e-Library