documented by Monte Carlo experiments. An empirical application to modelling of real GDP growth and investment-output ratios … dominant effects are found. The results also suggest that increase in investment as a share of GDP predict higher growth rate …

The idea that certain economic variables are roughly constant in the long-run is an old one. Kaldor described them as … models in economics as conditions for balanced growth, arbitrage or solvency, the empirical literature has tended to find …

documented by Monte Carlo experiments. An empirical application to modelling of real GDP growth and investment-output ratios … dominant effects are found. The results also suggest that increase in investment as a share of GDP predict higher growth rate … cross section dependence ; VAR ; global VAR ; factor models ; capital accumulation ; growth …