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International Output Convergence: Evidence from an AutoCorrelation Function Approach

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  • G Caggiano
  • L Leonida

Abstract

This paper uses an AutoCorrelation Function approach to develop new tests for international output convergence. Using per capita GDP for 15 OECD countries observed over a century, we find that the hypothesis of conditional convergence is unsupported; that, the United States apart, the linearized neoclassical growth model fails to replicate the transitional dynamics of OECD economies; and that these economies do not behave like a club.

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Bibliographic Info

Paper provided by Business School - Economics, University of Glasgow in its series Working Papers with number 2006_20.

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Handle: RePEc:gla:glaewp:2006_20

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Keywords: Autocorrelation Function; Convergence; Neoclassical Growth Model;

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References

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Citations

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Cited by:
  1. Giovanni Caggiano & Efrem Castelnuovo, 2008. "Long Memory and Non-Linearities in International Inflation," "Marco Fanno" Working Papers 0076, Dipartimento di Scienze Economiche "Marco Fanno".
  2. Caggiano, Giovanni & Castelnuovo, Efrem, 2011. "On the dynamics of international inflation," Economics Letters, Elsevier, vol. 112(2), pages 189-191, August.
  3. N. Garrido & F. Mureddu, 2012. "Club performance dynamics at Italian regional level," Working Paper CRENoS 201203, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
  4. Le Pen, Yannick, 2011. "A pair-wise approach to output convergence between European regions," Economic Modelling, Elsevier, vol. 28(3), pages 955-964, May.
  5. Juan Brida & Nicolás Garrido & Francesco Mureddu, 2014. "Italian economic dualism and convergence clubs at regional level," Quality & Quantity: International Journal of Methodology, Springer, vol. 48(1), pages 439-456, January.

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