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The effects of exports, aid and remittances on output: The case of Kiribati

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  • Rao, B. Bhaskara
  • Takirua, Toani

Abstract

Country specific time series models of the determinants of output for the small developing island countries in the Pacific region are relatively few. This paper explores the applicability of the framework underlying Solow (1956) to analyze the determinants output in Kiribati for the period 1970-2005. It is found that technical progress in Kiribati has been negative virtually offsetting the positive effects of factor accumulation. Aid and remittances have negative effects and exports have only a small positive effect in the short run.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 1548.

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Date of creation: 01 Jul 2006
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Handle: RePEc:pra:mprapa:1548

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Keywords: Kiribati; Growth; Aid; Exports and Remittances;

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  1. Neil R. Ericsson & James G. MacKinnon, 2002. "Distributions of error correction tests for cointegration," Econometrics Journal, Royal Economic Society, vol. 5(2), pages 285-318, 06.
  2. Rao, B. Bhaskara & Singh, Rup & Nisha, Fozia, 2006. "An extension to the neoclassical growth modelto Estimate Growth and Level Effects," MPRA Paper 2186, University Library of Munich, Germany.
  3. 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.
  4. Pesaran, M. H. & Shin, Y. & Smith, R. J., 1996. "Testing for the 'Existence of a Long-run Relationship'," Cambridge Working Papers in Economics 9622, Faculty of Economics, University of Cambridge.
  5. Dimitrios Asteriou & Simon Price, 2000. "Financial Development and Economic Growth: Time Series Evidence for the case of UK," Ekonomia, Cyprus Economic Society and University of Cyprus, vol. 4(2), pages 122-141, Winter.
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Cited by:
  1. Balli, Faruk & Balli, Hatice O., 2010. "Income and consumption smoothing and welfare gains across Pacific Island countries: The role of remittances and foreign aid," MPRA Paper 29547, University Library of Munich, Germany, revised 24 Feb 2011.
  2. Kumar, Ronald Ravinesh, 2013. "Remittances and economic growth: A study of Guyana," Economic Systems, Elsevier, vol. 37(3), pages 462-472.
  3. Rao, B. Bhaskara & Sharma, K.L. & Singh, Rup & Lata, Nalini, 2007. "A Survey of Growth and Development Issues of the Pacific Islands," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  4. Ronald Kumar, 2014. "Exploring the nexus between tourism, remittances and growth in Kenya," Quality & Quantity: International Journal of Methodology, Springer, vol. 48(3), pages 1573-1588, May.
  5. Ziesemer, Thomas H.W., 2012. "Worker remittances, migration, accumulation and growth in poor developing countries: Survey and analysis of direct and indirect effects," Economic Modelling, Elsevier, vol. 29(2), pages 103-118.

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