IDEAS home Printed from https://ideas.repec.org/a/jed/journl/v32y2007i2p93-112.html

Dynamic Empirics Of Trade Openness And Economic Growth In Latin America: Do Fast Reformers Grow Faster?

Author

Listed:
  • Gustavo Barboza

    (Clarion University of Pennsylvania)

Abstract

This study uses a dynamic model to determine the contribution of openness on output growth in Latin America. Error Correction Model and Phillips and Loretan results prove superior to OLS estimates. First, openness growth does not have a straight positive relationship to productivity growth; i.e., it is not clear whether fast reformers grow faster. Second, there are significant variations between the short run and long run estimates under the ECM but not under the Phillips and Loretan specification. Third, lead effects are present and are strong in magnitude.

Suggested Citation

  • Gustavo Barboza, 2007. "Dynamic Empirics Of Trade Openness And Economic Growth In Latin America: Do Fast Reformers Grow Faster?," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 32(2), pages 93-112, December.
    • Handle: RePEc:jed:journl:v:32:y:2007:i:2:p:93-112
    as

    Download full text from publisher

    File URL: http://www.jed.or.kr/full-text/32-2/4.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gene M. Grossman & Elhanan Helpman, 1994. "Endogenous Innovation in the Theory of Growth," Journal of Economic Perspectives, American Economic Association, vol. 8(1), pages 23-44, Winter.
    2. Feder, Gershon, 1983. "On exports and economic growth," Journal of Development Economics, Elsevier, vol. 12(1-2), pages 59-73.
    3. Balassa, Bela, 1978. "Exports and economic growth : Further evidence," Journal of Development Economics, Elsevier, vol. 5(2), pages 181-189, June.
    4. Sachs, Jeffrey D & Warner, Andrew M, 1997. "Sources of Slow Growth in African Economies," Journal of African Economies, Centre for the Study of African Economies, vol. 6(3), pages 335-376, October.
    5. David H. Romer & Jeffrey A. Frankel, 1999. "Does Trade Cause Growth?," American Economic Review, American Economic Association, vol. 89(3), pages 379-399, June.
    6. N. Gregory Mankiw & David Romer & David N. Weil, 1992. "A Contribution to the Empirics of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(2), pages 407-437.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Trejos, Sandra & Barboza, Gustavo, 2015. "Dynamic estimation of the relationship between trade openness and output growth in Asia," Journal of Asian Economics, Elsevier, vol. 36(C), pages 110-125.
    2. Olabode E . OLABISI & Evan LAU, 2018. "Causality Testing between Trade Openness, Foreign Direct Investment and Economic Growth: Fresh Evidence from Sub-Saharan African Countries," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 71(4), pages 437-464.
    3. Anwesha Aditya & Rajat Acharyya, 2012. "Does What Countries Export Matter? The Asian And Latin American Experience," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 37(3), pages 47-74, September.

    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. Mustapha Kamel Nabli & Marie-Ange Véganzonès-Varoudakis, 2007. "Reform complementarities and economic growth in the Middle East and North Africa," Journal of International Development, John Wiley & Sons, Ltd., vol. 19(1), pages 17-54.
    2. Bakari, Sayef, 2017. "Why is South Africa Still a Developing Country?," MPRA Paper 80763, University Library of Munich, Germany.
    3. Neil Foster, 2006. "Exports, growth and threshold effects in Africa," Journal of Development Studies, Taylor & Francis Journals, vol. 42(6), pages 1056-1074.
    4. Miguel-Ángel Galindo Martín & Agustín Álvarez Herranz, 2006. "Regional Exports and Economic Growth: The Case of Spanish Regions," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 12(1), pages 81-89, February.
    5. repec:kap:iaecre:v:12:y:2006:i:1:p:81-89 is not listed on IDEAS
    6. Narayan, Seema & Narayan, Paresh Kumar & Mishra, Sagarika, 2010. "Investigating the relationship between health and economic growth: Empirical evidence from a panel of 5 Asian countries," Journal of Asian Economics, Elsevier, vol. 21(4), pages 404-411, August.
    7. Ahmet Faruk AYSAN & Mustapha Kamel NABLI & Marie‐Ange VÉGANZONÈS‐VAROUDAKIS, 2007. "Governance Institutions And Private Investment: An Application To The Middle East And North Africa," The Developing Economies, Institute of Developing Economies, vol. 45(3), pages 339-377, September.
    8. Marie-Ange VEGANZONES-VAROUDAKIS & NABLI & Ahmet Faruk AYSAN, 2006. "Governance and Private Investment in the Middle East and North Africa," Working Papers 200627, CERDI.
    9. Klaus Wälde & Christina Wood, 2004. "The empirics of trade and growth: where are the policy recommendations?," International Economics and Economic Policy, Springer, vol. 1(2), pages 275-292, January.
    10. Ghosh, Atish R. & Ostry, Jonathan D. & Qureshi, Mahvash S., 2018. "Taming the Tide of Capital Flows: A Policy Guide," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262037165, December.
    11. Sumbal Fatima & Bateer Chen & Muhammad Ramzan & Qamar Abbas, 2020. "The Nexus Between Trade Openness and GDP Growth: Analyzing the Role of Human Capital Accumulation," SAGE Open, , vol. 10(4), pages 21582440209, November.
    12. Jan Ditzen, 2014. "Economic Growth and Migration," SEEC Discussion Papers 1406, Spatial Economics and Econometrics Centre, Heriot Watt University.
    13. Eriṣ, Mehmet N. & Ulaṣan, Bülent, 2013. "Trade openness and economic growth: Bayesian model averaging estimate of cross-country growth regressions," Economic Modelling, Elsevier, vol. 33(C), pages 867-883.
    14. Mustapha Kamel Nabli, 2007. "Breaking the Barriers to Higher Economic Growth : Better Governance and Deeper Reforms in the Middle East and North Africa," World Bank Publications - Books, The World Bank Group, number 6914, April.
    15. Charles Ackah, & Oliver Morrissey, 2007. "Trade Liberalisation is Good for You if You are Rich," Discussion Papers 07/01, University of Nottingham, CREDIT.
    16. Fabio Mazzola & Iolanda Cascio & Rosalia Epifanio & Giuseppe Giacomo, 2018. "Territorial capital and growth over the Great Recession: a local analysis for Italy," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 60(2), pages 411-441, March.
    17. Óscar Afonso, 2001. "The Impact of International Trade on Economic Growth," FEP Working Papers 106, Universidade do Porto, Faculdade de Economia do Porto.
    18. Joshua J. Lewer & Hendrik Van den Berg, 2003. "How Large Is International Trade’s Effect on Economic Growth?," Journal of Economic Surveys, Wiley Blackwell, vol. 17(3), pages 363-396, July.
    19. El Weriemmi, Malek & Bakari, Sayef, 2024. "The Impact of CO2 Emissions, Domestic Investment and Trade Openness on Economic Growth: New Evidence from North African Countries," MPRA Paper 122152, University Library of Munich, Germany.
    20. Sinesipho Siswana & Andrew Phiri, 2021. "Is Export Diversification or Export Specialization Responsible for Economic Growth in BRICS Countries?," The International Trade Journal, Taylor & Francis Journals, vol. 35(3), pages 243-261, May.
    21. Renelt, David, 1991. "Economic growth : a review of the theoretical and empirical literature," Policy Research Working Paper Series 678, The World Bank.

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • F1 - International Economics - - Trade
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

    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:jed:journl:v:32:y:2007:i:2:p:93-112. 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: Sung Y. Park (email available below). General contact details of provider: https://edirc.repec.org/data/eccaukr.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.