Download or read book Capital Goods Imports and Long run Growth written by Jong-Wha Lee and published by . This book was released on 1994 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper presents an endogenous growth model of an open economy in which the growth rate of income is higher if foreign capital goods are used relatively more than domestic capital goods for the production of capital stock. Empirical results, using cross country data for the period 1960-85, confirm that the ratio of imported to domestically produced capital goods in the composition of investment has a significant positive effect on per capita income growth rates across countries, in particular, in developing countries. Hence, the composition of investment in addition to the volume of total capital accumulation is highlighted as an important determinant of economic growth.
Download or read book Economic Growth and International Trade with Capital Goods written by Rainer Maurer and published by . This book was released on 1998 with total page 270 pages. Available in PDF, EPUB and Kindle. Book excerpt: The process of globalization is increasing the integration of all kinds of economic activity. Meanwhile, the international division of labor has reached levels unprecedented in history. The neoclassical theories of international trade predict positive net welfare effects of international economic integration; yet, in so doing, they primarily focus on static welfare effects. Early critics of the "free trade paradigm", like Friedrich List, hold that this focus on static welfare effects is a major shortcoming of these theories. New developments in the theory of economic growth make it possible now to analyze the dramatic effects of international trade on economic development and to develop new theories. In the first part of his book, Maurer derives different sets of conditions necessary for international trade to have a positive or negative effect on economic development. In the second part, he estimates the effects of international trade with capital goods on economic growth: the effect imports of capital goods may have on the transition towards steady state and the effect the international trade with capital goods may have on total factor productivity growth. The results indicate that capital goods imports have a significant positive effect on both sources of economic growth.
Download or read book Impact of Imported Intermediate and Capital Goods on Economic Growth written by Choorikkad Veeramani and published by . This book was released on 2009 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Knowledge accumulation in the richer countries provides them with comparative advantages in higher productivity products. The countries that import the higher productivity intermediate products and capital equipments produced in the richer countries, however, derive benefits from knowledge spillovers. The empirical analysis in this paper shows that what type of intermediate goods and capital equipments a country imports and from where it imports indeed matters for its long-run growth. Using highly disaggregated trade data for a large number of countries, we construct an index (denoted as IMPY) that measures the productivity level associated with a country's imports. Using instrumental variable method (to address the endogeneity problems), we find that a higher initial value of the IMPY index (for the year 1995) leads to a faster growth rate of income per capita in the subsequent years (during 1995-2005) and vice versa. The results imply that a 10% increase in IMPY increases growth by about 1.3 to1.9 percentage points, which is quite large.
Download or read book Capital Goods Imports written by Luis Serven and published by World Bank Publications. This book was released on 1994 with total page 33 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Imports and Growth in Highly Indebted Countries written by Jesko Hentschel and published by Springer Science & Business Media. This book was released on 2012-12-06 with total page 219 pages. Available in PDF, EPUB and Kindle. Book excerpt: A real imports of capital and intermediate goods declined sharply for highlyindebted countries in the 1980s, these economies were faced with the need tosubstitute previously imported factors of production with domestic capital and labor. The study empirically analyzes the degree of import dependence of twelve developing countries. Estimates of the short-run elasticity of substitution characterize both imported capital and intermediate goods to behave like complements in the production process in the developing countries. Long-run substitution elasticites differ considerably among the group of economies, especially for imported machinery and equipment. The results indicate that inward-oriented strategies have not achieved the aim of reducing the import dependence of the developing economies. In order to visualize theimplications of the differing degree of import dependence, a partial equilibrium econometric model is used to analyze the reaction of the trade account on external shocks and domestic policies in Columbia and Ecuador. Simulations show that the dependence on imported production means can transform an "adjustment with growth" of the external account intoan "adjustment or growth" controversy.
Download or read book Capital goods Imports and US Growth written by Michèle Cavallo and published by . This book was released on 2018 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Price of Capital Goods A Driver of Investment Under Threat written by Weicheng Lian and published by International Monetary Fund. This book was released on 2019-06-28 with total page 84 pages. Available in PDF, EPUB and Kindle. Book excerpt: Over the past three decades, the price of machinery and equipment fell dramatically relative to other prices in advanced and emerging market and developing economies. Using cross-country and sectoral data, we show that the decline in the relative price of tangible tradable capital goods provided a significant impetus to the capital deepening that took place during the same time period. The broad-based decline in the relative price of machinery and equipment, in turn, was driven by the faster productivity growth in the capital goods producing sectors relative to the rest of the economy, and deeper trade integration, which induced domestic producers to lower prices and increase their efficiency. Our findings suggest an additional channel through which rising trade tensions and sluggish productivity could threaten real investment growth going forward.
Download or read book Capital Goods Prices Global Capital Markets and Accumulation 1870 1950 written by William J. Collins and published by . This book was released on 1999 with total page 60 pages. Available in PDF, EPUB and Kindle. Book excerpt: Conventional wisdom has it that global financial markets were as well integrated in the 1890s as in the 1990s, but that it took several post-war decades to regenerate the connections that existed before 1914. This view has emerged from a variety of tests for world financial capital market integration ranging from the correlation of saving and investment aggregates to the dispersion of security prices and real interest rates. Presumably, we care about global capital market integration because it can have an impact on accumulation performance and the global distribution of the capital stock. Oddly enough, however, the relative price of capital goods, an important component of the user cost of capital, has never been incorporated into studies of capital market integration and almost never in comparative studies of pre-1950 economic growth. This could be an important omission. This paper explores the issue with a panel data base 1870-1950 for eleven OECD countries. It turns out that capital goods prices have been central to accumulation, and therefore to growth and convergence. They have also been as important to the evolution of global capital markets as have been interest rates and other financial costs.
Download or read book Are Capital Goods Tariffs Different written by Sergii Meleshchuk and published by International Monetary Fund. This book was released on 2020-05-22 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper we demonstrate the importance of distinguishing capital goods tariffs from other tariffs. Using exposure to a quasi-natural experiment induced by a trade reform in Colombia, we find that firms that have been more exposed to a reduction in intermediate and consumption input or output tariffs do not significantly increase their investment rates. However, firms’ investment rate increase strongly in response to a reduction in capital goods input tariffs. Firms do not substitute capital with labor, but instead also increase employment, especially for production workers. Reduction in other tariff rates do not increase investment and employment. Our results suggest that a reduction in the relative price of capital goods can significantly boost investment and employment and does not seem to lead to a decline in the labor share.
Download or read book Growth with Imported Capital Goods Limited Export Demand and Foreign Debt written by T.H.W. Ziesemer and published by . This book was released on 1993 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Economic development and growth in transition countries written by Desislava Todorova Rusinova and published by Rozenberg Publishers. This book was released on 2010 with total page 130 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Foreign Exchange Constraints and Growth Possibilities in LDCs written by Jaime R. Marquez and published by . This book was released on 1984 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Present Position and Long range Prospects of Business Capital Goods written by and published by . This book was released on 1955 with total page 24 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Growth with Imported Capital Goods Limited Export Demand and Foreign Debt written by T.H.W. Ziesemer and published by . This book was released on 1993 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Capital Goods Industry in Developing Countries written by and published by . This book was released on 1985 with total page 184 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Imports and Economic Growth written by C.A. van Bochove and published by Springer Science & Business Media. This book was released on 2012-12-06 with total page 345 pages. Available in PDF, EPUB and Kindle. Book excerpt: The research for this project was carried out while the author was at the staff of the Economics Faculty of Erasmus University Rotterdam. The core results were recorded in discussion papers 7821/G, 7901/G, 7910/G and 8002/G of the faculty's Institute for Economic Research. Working on the project I incurred considerable debts to some professors and fellow staff members of the faculty. Professor P. J. Verdoorn initiated this study by suggesting its subject and by encouraging me to turn my initially hesitantly held view of imports as 'indispensable' inputs into the cornerstone of the analysis; he also read the final manuscript. Professor H. C. Bos' enthusiastic encouragement greatly stimulated me in the arduous phase of the writing of the manuscript; his advise on style and emphasis considerably improved the presentation while his careful reading of the various versions of the manuscript eliminated many non sequiturs and some errors. I am deeply in debt to A. S. W. de Vries who scrutinized not only the manuscript but also the preliminary discussion papers; while sharing an office room with him for six years I had the benefit of many stimulating discussions and he equanimously put up with my moods when I was stuck at some point. I am also in debt to D. P. Broer for checking and improving the optimal control theorem in chapter 7; to Professor R. Harkema for inducing me to write sections 5. 1 and 5.
Download or read book Essays in the Theory of Economic Growth written by Evsey D. Domar and published by Greenwood Publishing Group. This book was released on 1982 with total page 272 pages. Available in PDF, EPUB and Kindle. Book excerpt: A collection of nine papers, each representing an application of the rate of economic growth as an analytical device to a specific economic problem, provides models toward the general development of a theory of growth.
