Testing For Convergence in Output and in 'Well-Being' in Industrialized Countries
AbstractThere is now an extensive empirical literature relating to tests for various forms of convergence between the real per capita outputs of different countries. The evidence from these tests is mixed, and depends upon the type of data used, the countries in question, and the sample period in question. However, very little attention has been paid to the possibility of an associated convergence in "well-being" across countries. Indeed, it is interesting to posit the lack of any connection between convergence in output (income) and convergence in "well-being". In this paper we address this issue in the context of fourteen OECD economies, using various measures of "well-being", and different tests of convergence. The latter include a time-series test recently proposed by Nahar and Inder (2002), and a test based on fuzzy clustering proposed by Giles (2001). Our findings indicate that in general one should not expect convergence in output to be associated with convergence in "well-being".
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Bibliographic InfoPaper provided by Department of Economics, University of Victoria in its series Econometrics Working Papers with number 0302.
Length: 30 pages
Date of creation: 08 Apr 2003
Date of revision:
Note: ISSN 1485-6441
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Convergence; well-being indicators; time-series analysis; fuzzy clustering;
Find related papers by JEL classification:
- C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models &bull Diffusion Processes
- C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
- O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2003-04-13 (All new papers)
- NEP-CBE-2003-04-13 (Cognitive & Behavioural Economics)
- NEP-DEV-2003-04-13 (Development)
- NEP-LAM-2003-04-13 (Central & South America)
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