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An explanation of the slowdown in US economic growth

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  • H. Sonmez Atesoglu
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    Abstract

    This paper provides a Keynesian account of the slowdown in the United States economic growth as suggested by the growth model of Thirlwall. According to Thirlwall's model, economic growth is determined by the dynamic Harrod foreign trade multiplier. This multiplier relation indicates that the fall in the rate of economic growth has been brought about mainly by an increase in the income elasticity of demand for imports

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    File URL: http://www.informaworld.com/openurl?genre=article&doi=10.1080/758529809&magic=repec&7C&7C8674ECAB8BB840C6AD35DC6213A474B5
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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Applied Economics Letters.

    Volume (Year): 2 (1995)
    Issue (Month): 4 ()
    Pages: 91-94

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    Handle: RePEc:taf:apeclt:v:2:y:1995:i:4:p:91-94

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    Cited by:
    1. Elias Soukiazis & Eva Muchova, 2012. "Slovak economic growth and the consistency of the balance-of-payments constraint approach," GEMF Working Papers 2012-16, GEMF - Faculdade de Economia, Universidade de Coimbra.
    2. Micaela Antunes & Elias Soukiazis, 2011. "How well the balance-of- payments constraint approach explains the Portuguese growth performance. Empirical evidence for the 1965-2008 period," ERSA conference papers ersa10p125, European Regional Science Association.
    3. Juan Carlos Moreno-Brid, 1999. "Mexico's Economic Growth and the Balance of Payments Constraint: A cointegration analysis," International Review of Applied Economics, Taylor & Francis Journals, vol. 13(2), pages 149-159.
    4. Florencia Médici, 2011. "A Cointegration Analysis on the Principle of Effective Demand in Argentina (1980-2007)," Ensayos Económicos, Central Bank of Argentina, Economic Research Department, vol. 1(61-62), pages 103-137, January -.
    5. Paul Turner, 1999. "The Balance of Payments Constraint and the Post 1973 Slowdown of Economic Growth in the G7 Economies," International Review of Applied Economics, Taylor & Francis Journals, vol. 13(1), pages 41-53.
    6. Eduardo Loría, 2001. "La restricción externa dinámica al crecimiento de México a través de las propensiones del comercio, 1970-1999," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 16(2), pages 227-251.

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