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Gross Capital Formation And Economic Growth During Early 2000’S In Eu-Member And Candidates States

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  • Florin-Marius PAVELESCU

    ()
    (Institute of National Economy)

Abstract

The purpose of this paper is to reveal the correlation between the gross capital formation and the gross domestic product in countries of the European Union in 2007, during the period 1999-2006. The evaluation is made both on demand side and on supply side. On the demand side we take into account the gross capital formation dynamics and structure and the gross domestic product dynamics. On the supply side calculate the capital accumulation efficiency, through modification of the formulae resulted from Domar’s economic growth model in order to emphasise the impact of domestic demand and net export changes. In the end we present some conclusions and proposals for gross capital formation contribution to economic growth methodology improvement.

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Bibliographic Info

Article provided by Institute of National Economy in its journal Romanian Journal of Economics.

Volume (Year): 26 (2008(XVIII))
Issue (Month): 1(35) (June)
Pages: 166-179

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Handle: RePEc:ine:journl:v:1:y:2008:i:26:p:166-179

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Related research

Keywords: economic growth; gross capital formation dynamics and structure; internal and external capital accumulation efficiency;

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References

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  1. N. Gregory Mankiw & David Romer & David N. Weil, 1990. "A Contribution to the Empirics of Economic Growth," NBER Working Papers 3541, National Bureau of Economic Research, Inc.
  2. Engelbert Stockhammer, 2007. "Some Stylized Facts on the Finance-Dominated Accumulation Regime," Working Papers wp142, Political Economy Research Institute, University of Massachusetts at Amherst.
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Cited by:
  1. Florin-Marius PAVELESCU, 2008. "Interdependencies Between Gross Capital Formation, Economic Growth And External Equilibrium In The Context Of The European Union Enlargement," Romanian Journal of Economics, Institute of National Economy, vol. 27(2(36)), pages 79-94, December.

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