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The Growth Effects on Degrowth: What Remains of The Center-Periphery Model?

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  • Fakhri Issaoui

    (ESEN, Université de la Manouba, Manouba, Tunisia)

  • Talel Boufateh

    (ESC de Tunis, Université de la Manouba, Manouba, Tunisia)

  • Hanène Ben Ouada Jamoussi

    (ESC de Tunis, Université de la Manouba, Manouba, Tunisia)

  • Mourad Guesmi

    (FSEG de Jendouba, Université de Jendouba, Tunisia)

Abstract

Although economic growth is considered to be one of the most discussed and studied topics by economists, some questions are hitherto unexplored. In this article we will try to address one of these issues by studying the effect of hegemonic countries’ growth shocks on the growth of peripheral countries. By using a SVEC model, we have shown that although peripheral countries’ integration into trade relations with center countries may allow short and medium-term growth, it prevents them from confirming their long-term economic independence.

Suggested Citation

  • Fakhri Issaoui & Talel Boufateh & Hanène Ben Ouada Jamoussi & Mourad Guesmi, 2014. "The Growth Effects on Degrowth: What Remains of The Center-Periphery Model?," Economic Research Guardian, Mutascu Publishing, vol. 4(1), pages 33-57, June.
    • Handle: RePEc:wei:journl:v:4:y:2014:i:1:p:33-57
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    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • F15 - International Economics - - Trade - - - Economic Integration

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