This paper shows that the Solow model’s predictions are consistent with the data. The standard of living is correlated positively with saving rates and negatively with population growth rates, while just these two variables explain jointly 67% to 73% of the sample’s cross-country variation....

While various theoretical models predict that openness to international trade accelerates productivity and promotes economic growth, the empirical evidence has been mixed or imprecise. This paper investigates the issue using two panel data sets: one of 56 countries covering the period 1951-1998,...