Effects of Trade Openness on the Steady State Growth Rates of Selected Asian Countries with an Extended Exogenous Growth Model
AbstractThe Solow growth model is extended with an endogenous growth framework to estimate the effects of trade openness on the steady state growth rate (SSGR). Estimates of the augmented production functions are used to compute the SSGRs for Singapore, Malaysia, Hong Kong, India and Thailand. That good policies increase the growth effects of openness is also tested with an interactive term. Our results show that Singapore has the highest SSGR of 2.75%, followed by Hong Kong and Thailand with 2.5%. India and Malaysia have lower SSGRs of 1.7% and 0.5% respectively.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 5851.
Date of creation: 21 Nov 2007
Date of revision:
Exogenous and Endogenous Growth; Trade Openness; Steady State Growth Rate; Country Specific Estimates with Time Series Data; Asian Countries;
Other versions of this item:
- B. Bhaskara Rao & Rup Singh, 2010. "Effects of trade openness on the steady-state growth rates of selected Asian countries with an extended exogenous growth model," Applied Economics, Taylor and Francis Journals, vol. 42(29), pages 3693-3702.
- O33 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-11-24 (All new papers)
- NEP-CWA-2007-11-24 (Central & Western Asia)
- NEP-DEV-2007-11-24 (Development)
- NEP-SEA-2007-11-24 (South East Asia)
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