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Catching up: What are the Critical Factors for success?

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  • Jan Fagerberg

    (Centre for Technology, Innovation and Culture, University of Oslo)

  • Martin Srholec

    (Centre for Technology, Innovation and Culture, University of Oslo)

Abstract

This paper addresses one of the oldest and most controversial issues in economics: Why do some countries succeed in catching up, while others fall behind? In recent years the quality and availability of data on different aspects of development have improved a lot. Attempting to exploit this opportunity for more in-depth research the paper starts with an overview and assessment of the different approaches in the literature and the empirical indicators and methods that these have given rise to. This leads to the formulation of a synthetic empirical model and, with the help of factor analysis on large variable set, to the identification of set of “capabilities” which might be assumed to be of critical importance for catch up. The explanatory power of these capabilities for economic growth is tested on a sample of 135 countries in the 1990s.

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Bibliographic Info

Paper provided by Centre for Technology, Innovation and Culture, University of Oslo in its series Working Papers on Innovation Studies with number 20050401.

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Length: 88 pages
Date of creation: Apr 2005
Date of revision:
Handle: RePEc:tik:inowpp:20050401

Note: Presented at UNIDO, Vienna, Wednesday, 23 November 2005
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Cited by:
  1. Jan Fagerberg, 2013. "The changing global economic landscape: What are the factors that matter?," Working Papers on Innovation Studies 20130201, Centre for Technology, Innovation and Culture, University of Oslo.
  2. Jan Fagerberg & Maryann Feldman & Martin Srholec, 2011. "Technological Dynamics and Social Capability: Comparing U.S. States and European Nations," Working Papers on Innovation Studies 20111114, Centre for Technology, Innovation and Culture, University of Oslo.
  3. Rumen Dobrinsky, 2009. "The Paradigm of Knowledge-Oriented Industrial Policy," Journal of Industry, Competition and Trade, Springer, vol. 9(4), pages 273-305, December.
  4. Pitelis, Christos, 2009. "Foreign direct investment and economic integration," MPRA Paper 23938, University Library of Munich, Germany.
  5. Jan Fagerberg & Martin Srholec, 2009. "Knowledge, Capabilities and the Poverty Trap: The Complex Interplay Between Technological, Social and Geographical Factors," ICER Working Papers 24-2009, ICER - International Centre for Economic Research.

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