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Spatial persistence of demographic shocks and economic growth

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Author Info
Azomahou, Théophile
Diebolt, Claude
Mishra, Tapas

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Abstract

This paper studies the spatial effects of (stochastic) demographic system on economic growth. Population growth shocks (irrespective of aggregate or disaggregate form) depict spatial movement that is deemed to contribute to economic growth fluctuations of many countries depending upon their convergence properties to the long-run level. Proposing a step further from the recent emphasis of temporal analysis of demographic system, this paper examines the persistence properties of economic growth by embedding temporal dynamic characteristics of the demographic system in a spatial vector autoregressive model. We construct [`]demographic distance' metrics based on both average age-shares and the stochastic time series characteristics of aggregate and disaggregated population growth and show that demographic dynamics in the last four decades have had discernible effects on volatility and non-linearity in cross-country economic growth.

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File URL: http://www.sciencedirect.com/science/article/B6X4M-4PKFH0M-1/2/7d1a080d6960e21a10b84e908e4db30f
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Publisher Info
Article provided by Elsevier in its journal Journal of Macroeconomics.

Volume (Year): 31 (2009)
Issue (Month): 1 (March)
Pages: 98-127
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Handle: RePEc:eee:jmacro:v:31:y:2009:i:1:p:98-127

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Web page: http://www.elsevier.com/locate/inca/622617

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Related research
Keywords: Spatial persistence Long-memory Demographic dynamics Economic growth;

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  1. Mishra, Tapas & Jumah, Adusei & Parhi, Mamata, 2008. "Age-structured Human Capital and Spatial Total Factor Productivity Dynamics," Economics Series 226, Institute for Advanced Studies. [Downloadable!]
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This page was last updated on 2009-12-3.


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