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Forces of economic growth in C hina, I ndia, and other A sian countries
Author(s) -
Singh Rup
Publication year - 2015
Publication title -
asian‐pacific economic literature
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.232
H-Index - 21
eISSN - 1467-8411
pISSN - 0818-9935
DOI - 10.1111/apel.12090
Subject(s) - openness to experience , economics , fragility , investment (military) , panel data , monetary economics , estimation , econometrics , macroeconomics , chemistry , psychology , social psychology , management , politics , political science , law
This paper applies different approaches to modelling sources of economic growth from time series and panel data sets for 10 A sian countries over the period 1970–2010. After being subjected to fragility tests, the cross‐country estimates indicate that investment, together with policy variables and openness to trade, explains about 90 per cent of the estimated 3.2 per cent steady‐state growth rate for the region. Regional growth policy points to expanding trade, supporting financial development, and maintaining sound investment environments. Although country‐specific growth effects vary, the results imply that different estimation methods, combined with fragility tests, can help establish stronger links between growth theory and policy advice.