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Convergence Across Countries And Regions: Theory And Empirics

AutorFuente, Ángel de la
Fecha de publicaciónene-2000
SerieUFAE and IAE Working Papers
447.00
ResumenThis paper surveys the recent literature on convergence across countries and regions. We discuss the main convergence and divergence mechanisms identified in the literature and develop a simple model that illustrates their implications for income dynamics. We then review the existing empirical evidence and discuss its theoretical implications. Early optimism concerning the ability of a human capital-augmented neoclassical model to explain productivity differences across economies has been questioned on the basis of more recent contributions that make use of panel data techniques and obtain theoretically implausible results. Some recent research in this area tries to reconcile these findings with sensible theoretical models by exploring the role of alternative convergence mechanisms and the possible shortcomings of panel data techniques for convergence analysis.
DescripciónThis paper was prepared for the 2000 European Investment Bank Conference on Economics and Finance: Regional development policy and convergence in the EU.
URIhttp://hdl.handle.net/10261/1973
Aparece en las colecciones: (IAE) Informes y documentos de trabajo
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