Testing growth theories: Time series evidence

Arbeitspapier

Recent time series studies reject the hypothesis of catching up in terms of international per capita incomes as derived from the traditional neoclassical growth model. In turn, they seem to support new theories of economic growth which are capable of explaining persistent international differences in per capita incomes. In this paper I show that this finding is derived under a very restrictive econometric framework. Using a more flexible specification that allows for conditional convergence in per capita incomes and a gradual adjustment over time I derive results that are more favorable for the traditional growth model.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Kiel Working Paper ; No. 516

Classification and Topics

• Classification: Wirtschaft ; Multiple or Simultaneous Equation Models: Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models ; Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
• Subject: development of per capita incomes ; cointegration analysis, dynamic specification

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Gundlach, Erich
• Event: Veröffentlichung
• (who): Kiel Institute of World Economics (IfW) ; ZBW – Leibniz Information Centre for Economics
• (where): Kiel
• (when): 1992

Further information

• Handle: http://hdl.handle.net/10419/52663
• Last update: 10.03.2025, 11:42 AM CET