Economic Growth in an Interdependent World Economy
Bibliographic Data
| ID | 9704658 |
|---|---|
| Authors | Roger E A Farmer (0000-0002-6881-7960, UCLA and CEPR), Amartya Lahiri (UCLA) |
| Year | 2006 |
| Volume | 116 |
| Issue | 514 |
| Pages | 969-990 |
| Publication date | 2006-10-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | The Economic Journal (JOURNAL) |
| Journal identifiers | ISSN: 0013-0133 • E-ISSN: 1468-0297 |
| Publisher | Oxford University Press (OUP) (PUBLISHER) |
| DOI | 10.1111/j.1468-0297.2006.01119.x |
| OpenAlex | W2016922738 |
| Language | EN |
| References cited | 24 |
The open-economy Solow-Swan growth model predicts (1) that growth should be uncorrelated with the ratio of national investment to GDP and (2) instantaneous convergence of GDP per capita across countries. In the presence of capital market imperfections convergence is predicted to occur more slowly. But savings and investment ratios should still differ substantially across countries. In the data, investment ratios are strongly correlated with growth across countries and investment ratios are closely correlated with savings ratios within countries. We argue that a two-sector two-country AK model provides a better description of the data than the Solow-Swan model. Copyright 2006 The Author(s). Journal compilation Royal Economic Society 2006
Economic system · Economics · Interdependence · Political science · World economy · Economic Growth and Productivity · Economic Theory and Policy · Fiscal Policy and Economic Growth
Innovation and growth in the global economy
Quality Ladders in the Theory of Growth
The Penn World Table (Mark 5)
Optimum Technical Change in An Aggregative Model of Economic Growth
Time Series Tests of Endogenous Growth Models
On the mechanics of economic development
A Model of Growth Through Creative Destruction
Long-Run Policy Analysis and Long-Run Growth
Increasing Returns and Long-Run Growth
Optimal Taxation in Models of Endogenous Growth
A Convex Model of Equilibrium Growth
Endogenous Technological Change
Economic Growth and Capital Accumulation
Domestic Saving and International Capital Flows
A Contribution to the Empirics of Economic Growth
A Contribution to the Theory of Economic Growth
| Citation velocity | historical |
|---|---|
| Highly cited | No |