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On the Condition for Export-Led Growth

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  • Edward F. Buffie
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    Abstract

    In this paper, the author explores the conditions under which favorable export shocks produce export-led growth in a three-sector, three-factor, general equilibrium model that allows for endogenous capital accumulation. The export shock takes the form of either a resource discovery or an increase in the world market price of the export good. While surprisingly simple conditions define the outcome in many cases, there is no general presumption that an export boom will act as an engine of growth; much depends on the precise structural characteristics of the economy.

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    Bibliographic Info

    Article provided by Canadian Economics Association in its journal Canadian Journal of Economics.

    Volume (Year): 25 (1992)
    Issue (Month): 1 (February)
    Pages: 211-25

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    Handle: RePEc:cje:issued:v:25:y:1992:i:1:p:211-25

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    Cited by:
    1. Onafowora, Olugbenga A. & Owoye, Oluwole, 1998. "Can Trade Liberalization Stimulate Economic Growth in Africa?," World Development, Elsevier, vol. 26(3), pages 497-506, March.
    2. Reppas, Panayiotis A. & Christopoulos, Dimitris K., 2005. "The export-output growth nexus: Evidence from African and Asian countries," Journal of Policy Modeling, Elsevier, vol. 27(8), pages 929-940, November.
    3. Mojsoska-Blazevski, Nikica & Petreski, Marjan, 2010. "Western Balkan’s trade with the EU and CEFTA-2006: Evidence from Macedonian data," MPRA Paper 41942, University Library of Munich, Germany.
    4. Ramos, Francisco F. Ribeiro, 2001. "Exports, imports, and economic growth in Portugal: evidence from causality and cointegration analysis," Economic Modelling, Elsevier, vol. 18(4), pages 613-623, December.
    5. Qazi Muhammad Adnan Hye & Houda Ben Haj Boubaker, 2011. "Exports, Imports and Economic Growth: An Empirical Analysis of Tunisia," The IUP Journal of Monetary Economics, IUP Publications, vol. 0(1), pages 6-21, February.
    6. Amiri, Arshia & Gerdtham, Ulf-G, 2011. "Relationship between exports, imports, and economic growth in France: evidence from cointegration analysis and Granger causality with using geostatistical models," MPRA Paper 34190, University Library of Munich, Germany.

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