IDEAS home Printed from https://ideas.repec.org/a/bla/revinw/v68y2022is1ps22-s51.html

Evidence for Middle‐Income Trap Non‐occurrence in the Light of KLEMS Growth Accounting for Poland

Author

Listed:
  • Dariusz Kotlewski
  • Mirosław Błażej

Abstract

There is an ongoing discussion that many middle‐income countries are on the brink of the so‐called Middle‐income Trap, if not already stuck in it. The case of the Polish economy is analyzed, as an example of a Central‐Eastern Europe economy, to solve whether this is actually happening. Thanks to KLEMS growth accounting datasets published by Statistics Poland an analysis on this issue became feasible, showing that for Poland the assertion of the middle‐income trap threat has to be rejected after observing the growth distribution between industries, and particularly their growth decompositions into factor and MFP contributions. Extending this research to some other countries may possibly confirm that, just as for Poland, this “trap” is not taking place (or the converse). Although not solving the theoretical nexus on the middle‐income trap notion, these findings can be interesting for Central‐Eastern Europe economies’ researchers and the possible ongoing discussion.

Suggested Citation

  • Dariusz Kotlewski & Mirosław Błażej, 2022. "Evidence for Middle‐Income Trap Non‐occurrence in the Light of KLEMS Growth Accounting for Poland," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 68(S1), pages 22-51, April.
  • Handle: RePEc:bla:revinw:v:68:y:2022:i:s1:p:s22-s51
    DOI: 10.1111/roiw.12569
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/roiw.12569
    Download Restriction: no

    File URL: https://libkey.io/10.1111/roiw.12569?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Marcel P. Timmer & Mary O'Mahony & Bart van Ark, 2007. "Growth and productivity accounts from EU KLEMS: An overview," National Institute Economic Review, National Institute of Economic and Social Research, vol. 200(1), pages 64-78, April.
    2. Wing Thye Woo, 2012. "China meets the middle-income trap: the large potholes in the road to catching-up," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 10(4), pages 313-336, August.
    3. Marcel P. Timmer & Mary O’Mahony & Bart van Ark, 2007. "EU KLEMS Growth and Productivity Accounts: An Overview," International Productivity Monitor, Centre for the Study of Living Standards, vol. 14, pages 71-85, Spring.
    4. Dariusz Kotlewski & Mirosław Błażej, 2020. "KLEMS growth accounting implemented in Poland," Statistics in Transition New Series, Polish Statistical Association, vol. 21(1), pages 95-122, March.
    5. Diewert, W. Erwin & Fox, Kevin J., 2014. "Reference technology sets, Free Disposal Hulls and productivity decompositions," Economics Letters, Elsevier, vol. 122(2), pages 238-242.
    6. David M. Byrne & John G. Fernald & Marshall B. Reinsdorf, 2016. "Does the United States Have a Productivity Slowdown or a Measurement Problem?," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 47(1 (Spring), pages 109-182.
    7. repec:wbk:wbpubs:6798 is not listed on IDEAS
    8. Anita Wölfl & Dana Hajkova, 2007. "Measuring Multifactor Productivity Growth," OECD Science, Technology and Industry Working Papers 2007/5, OECD Publishing.
    9. Mary O'Mahony & Marcel P. Timmer, 2009. "Output, Input and Productivity Measures at the Industry Level: The EU KLEMS Database," Economic Journal, Royal Economic Society, vol. 119(538), pages 374-403, June.
    10. repec:wbk:wbpubs:2350 is not listed on IDEAS
    11. Vivarelli, Marco, 2014. "Structural Change and Innovation as Exit Strategies from the Middle Income Trap," IZA Discussion Papers 8148, IZA Network @ LISER.
    12. Xielin Liu & Sylvia Schwaag Serger & Ulrike Tagscherer & Amber Y. Chang, 2017. "Beyond catch-up—can a new innovation policy help China overcome the middle income trap?," Science and Public Policy, Oxford University Press, vol. 44(5), pages 656-669.
    13. Barry Eichengreen & Donghyun Park & Kwanho Shin, 2013. "Growth Slowdowns Redux: New Evidence on the Middle-Income Trap," NBER Working Papers 18673, National Bureau of Economic Research, Inc.
    14. Pierre-Richard Agénor, 2017. "Caught In The Middle? The Economics Of Middle-Income Traps," Journal of Economic Surveys, Wiley Blackwell, vol. 31(3), pages 771-791, July.
    15. Karel Havik & Kieran Mc Morrow & Fabrice Orlandi & Christophe Planas & Rafal Raciborski & Werner Roeger & Alessandro Rossi & Anna Thum-Thysen & Valerie Vandermeulen, 2014. "The Production Function Methodology for Calculating Potential Growth Rates & Output Gaps," European Economy - Economic Papers 2008 - 2015 535, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    16. Anna Jankowska & Arne Nagengast & José Ramón Perea, 2012. "The Product Space and the Middle-Income Trap: Comparing Asian and Latin American Experiences," OECD Development Centre Working Papers 311, OECD Publishing.
    17. Jesus Felipe, 2012. "Tracking the Middle-Income Trap: What is It, Who is in It, and Why? Part 1," ADB Economics Working Paper Series 306, Asian Development Bank.
    18. Jesus Felipe & Arnelyn Abdon & Utsav Kumar, 2012. "Tracking the Middle-income Trap: What Is It, Who Is in It, and Why?," Economics Working Paper Archive wp_715, Levy Economics Institute.
    19. Voskoboynikov, Ilya B., 2017. "Sources of long run economic growth in Russia before and after the global financial crisis," Russian Journal of Economics, Elsevier, vol. 3(4), pages 348-365.
    20. Dale W. Jorgenson & Mun S. Ho & Kevin J. Stiroh, 2005. "Productivity, Volume 3: Information Technology and the American Growth Resurgence," MIT Press Books, The MIT Press, edition 1, volume 3, number 0262101114, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Richard Harrison & William Scheela & P. C. Lai & Sivapalan Vivekarajah, 2018. "Beyond institutional voids and the middle-income trap: The emerging business angel market in Malaysia," Asia Pacific Journal of Management, Springer, vol. 35(4), pages 965-991, December.
    2. Gill,Indermit S. & Kharas,Homi, 2015. "The middle-income trap turns ten," Policy Research Working Paper Series 7403, The World Bank.
    3. Prajapati, Vishwajeet Singh & Priya, Ashutosh & Pradhan, Vikas, . "The middle-income trap – a problem of definition and empirical research," Economic and Regional Studies (Studia Ekonomiczne i Regionalne), John Paul II University of Applied Sciences in Biala Podlaska, vol. 16(3).
    4. Prajapati Vishwajeet Singh & Priya Ashutosh & Pradhan Vikas, 2023. "The middle-income trap – a problem of definition and empirical research," Economic and Regional Studies / Studia Ekonomiczne i Regionalne, Sciendo, vol. 16(3), pages 459-472, September.
    5. Riana Razafimandimby Andrianjaka & Eric Rougier, 2017. "What difference does it make? Revue de littérature et analyse empirique des déterminants de la Trappe à Revenu Intermédiaire," Cahiers du GREThA (2007-2019) 2017-16, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    6. Dariusz Kotlewski, 2022. "Przesłanki za wykorzystaniem rachunkowości wzrostu gospodarczego w badaniu specjalizacji regionalnych," Ekonomista, Polskie Towarzystwo Ekonomiczne, issue 2, pages 235-258.
    7. Dariusz Cezary Kotlewski, 2023. "The soundness of returning to manufacturing through the lens of productivity accounting," Ekonomista, Polskie Towarzystwo Ekonomiczne, issue 3, pages 253-274.
    8. Aiyar, Shekhar & Duval, Romain & Puy, Damien & Wu, Yiqun & Zhang, Longmei, 2018. "Growth slowdowns and the middle-income trap," Japan and the World Economy, Elsevier, vol. 48(C), pages 22-37.
    9. Glawe, Linda & Wagner, Helmut, 2020. "China in the middle-income trap?," China Economic Review, Elsevier, vol. 60(C).
    10. Allaoui, Elhassen & Tidjani, Chemseddine & Lacheheb, Miloud, 2015. "“Middle Income Trap”; the position of Algerian economy: a comparative analysis overview," MPRA Paper 91745, University Library of Munich, Germany, revised 18 Mar 2019.
    11. repec:ecr:col035:36816 is not listed on IDEAS
    12. Charles Gore, 2017. "Late industrialisation, urbanisation and the middle-income trap: an analytical approach and the case of Vietnam," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 10(1), pages 35-57.
    13. Razafimandimby Andrianjaka, Riana & Rougier, Eric, 2019. "“What difference does it make (to be in the Middle Income Trap)?”: An empirical exploration of the drivers of growth slowdowns," Structural Change and Economic Dynamics, Elsevier, vol. 51(C), pages 225-236.
    14. Vivarelli, Marco, 2014. "Structural Change and Innovation as Exit Strategies from the Middle Income Trap," IZA Discussion Papers 8148, IZA Network @ LISER.
    15. Vivarelli, Marco, 2018. "Globalisation, structural change and innovation in emerging economies: The impact on employment and skills," MERIT Working Papers 2018-037, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    16. Rigg, Jonathan & Promphaking, Buapun & Le Mare, Ann, 2014. "Personalizing the Middle-Income Trap: An Inter-Generational Migrant View from Rural Thailand," World Development, Elsevier, vol. 59(C), pages 184-198.
    17. Marco Vivarelli, 2015. "Structural Change and Innovation in Developing Economies: A Way Out of the Middle Income Trap ?," LEM Papers Series 2015/09, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    18. Flechtner, Svenja & Panther, Stephan, 2017. "Global and domestic inequalities and the political economy of the midde-income trap," Working Paper Serie des Instituts für Ökonomie Ök-29, Hochschule für Gesellschaftsgestaltung (HfGG), Institut für Ökonomie.
    19. Marco Vivarelli, 2014. "The Middle Income Trap: A Way Out Based on Technological and Structural Change," DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali dises1403, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    20. Akbas, Yusuf Ekrem & Sancar, Canan, 2021. "The impact of export dynamics on trade balance in emerging and developed countries: An evaluation with middle income trap perspective," International Review of Economics & Finance, Elsevier, vol. 76(C), pages 357-375.
    21. Semanur SoyyiÄŸit, 2019. "The Relationship Between Middle Income Trap and Structural Transformation: The Case of Selected Countries," Central European Journal of Economic Modelling and Econometrics, Central European Journal of Economic Modelling and Econometrics, vol. 11(4), pages 217-235, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:revinw:v:68:y:2022:i:s1:p:s22-s51. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/iariwea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.