In this paper, we combine the export-led and import-led growth hypotheses in a growth model in which the importation of foreign capital goods and the demand elasticities of own export products explain the growth opportunities and the technical progress of developing countries. This model, based...

This paper develops a model positing a nonlinear relationship between public investment and growth. The model is then applied to a panel of African countries using nonlinear estimating procedures. The growth-maximizing level of public investment is estimated at about 10 percent of GDP based on...

The success of nations in the path towards economic development hinges heavily on the emergence and dynamism of a modern sector capable of simultaneously absorbing an increasing share of the labour force while reducing the technological gap with the worlds frontier. Failure to do so would...

Three epistemologically distinct scientific approaches have dominated the relevant theoretical and empirical analysis on the determinants and dynamic processes of aggregate economic growth. These refer to (i) formal growth modeling approaches, (ii) evolutionary economics constructed on elements...

This article provides a succinct review of the arguments stressing the mutual relationship between institutions and economic performance, and a scholarly account of some of the most popular econometric strategies used to minimize reversed causality problems in impact estimation. Among the...

Contrary to a popular belief, the most popular Ak growth models display transitional dynamics once the representative agent and complete markets assumptions are overturned. The class of models is identied with diminishing returns at individual but constant returns at aggregate due to externality...

The Institutional Profiles Database (IPD) produced by the Agence Francaise de Developpement (AFD) has been carried out in 2001, 2006 and 2009, and a new wave is planned for 2012. Although the structure of the surveys varies greatly between 2006 and 2009, the similarity of a substantial...

This paper examines how publicly provided inputs could affect income distribution. By applying the Newman-Read production function- a generalized Cobb-Douglas production function- to Hicks's idea of the determinant of factor share, such usually complex dynamics remain analytically tractable. The...

We provide a growth model with imported resources and foreign debt accumulation providing the basis for two questions and regression equations. 1) Under what conditions do growth rates of per capita income remain positive if imported inputs such as oil have increasing real prices? 2) Is...

Public capital investment plays an important role in long run growth through enhancing productivity and complementing the accumulation of private inputs. Under appropriate conditions, public capital could also have important implications for income distribution dynamics. When the credit market...