Climate and Scale In Economic Growth
AbstractThis paper introduces new data on climatic conditions to empirical tests of growth theories. We find that, since 1960, temperate countries have converged towards a common high level of income while tropical nations have converged towards various income levels associated with economic scale and the extent of the market. These results for a wide range of tests. A plausible explanation is that temperate regions' growth was assisted by their climate, perhaps historically for their transition out of agriculture into sectors whose productivity converges across countries, while tropical countries' growth is relatively more dependent on gains from specialization and trade.
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Bibliographic InfoPaper provided by Center for International Development at Harvard University in its series CID Working Papers with number 48.
Date of creation: Jun 2000
Date of revision:
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Postal: Center for International Development at Harvard University (CID). 79 John F. Kennedy Street, Cambridge, MA 02138.
Web page: http://www.cid.harvard.edu/cidwp/
More information through EDIRC
growth accounting; empirical growth models; endogenous growth;
Other versions of this item:
- William A Masters and Margaret S McMillan, 2000. "Climate and Scale in Economic Growth," Economics Series Working Papers WPS/2000-13, University of Oxford, Department of Economics.
- Masters, William A. & McMillan, Margaret S., 2001. "Climate And Scale In Economic Growth," Miscellaneous Papers 11845, Agecon Search.
- Margaret S. McMillan & William A. Masters, 2000. "Climate and scale in economic growth," CSAE Working Paper Series 2000-13, Centre for the Study of African Economies, University of Oxford.
- F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
This paper has been announced in the following NEP Reports:
- NEP-ALL-2001-02-27 (All new papers)
- NEP-DEV-2001-02-27 (Development)
- NEP-ENE-2001-02-27 (Energy Economics)
- NEP-ENV-2001-02-27 (Environmental Economics)
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