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Did the European unification induce economic growth? In search of scale effects and persistent changes

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  • Patrick Vanhoudt

Abstract

In this paper we investigate whether the European unification has had an impact on the Union's average labor productivity growth. Based on a time series approach we do not find a scale-effect as suggested by new growth theory. However, the data do not reject the hypothesis that the EU growth experience is well described by a textbook Solow model. Panel data estimations moreover firmly reject the idea of a growth bonus associated with EU membership.
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  • Patrick Vanhoudt, 1999. "Did the European unification induce economic growth? In search of scale effects and persistent changes," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 135(2), pages 193-220, June.
    • Handle: RePEc:spr:weltar:v:135:y:1999:i:2:p:193-220
    DOI: 10.1007/BF02707252
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    More about this item

    Keywords

    E13; F02; 052;
    All these keywords.

    JEL classification:

    • E13 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Neoclassical
    • F02 - International Economics - - General - - - International Economic Order and Integration
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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