Geography and economic growth in Vietnam
Using panel data from Vietnam, this paper estimates the determinants of consumption growth for the period 2002-04, using a microgrowth model. While controlling for individual heterogeneity, particular attention is devoted to the question of whether geography, broadly defined to include natural and man-made characteristics at the level of the commune, can be responsible for lower growth rates and, consequently, poverty persistence. We find very limited support for this hypothesis. Neither public nor private investment at commune levels seem to have, per se, a significant effect on growth. However, local poverty rate does have an important, nonlinear, relation with growth rate of consumption at individual level, suggesting the importance of local externalities in this process. The policy implications of this finding are discussed.
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- Elbers, Chris & Fujii, Tomoki & Lanjouw, Peter & Ozler, Berk & Yin, Wesley, 2007.
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"Child poverty in Vietnam: using adult equivalence scales to estimate income-poverty for different age groups,"
777, University Library of Munich, Germany.
- Howard White, 2005. "Child Poverty in Vietnam: Using Adult Equivalence Scales to Estimate Income-Poverty for Different Age Groups," Development and Comp Systems 0504016, EconWPA.
- Máximo Torero & Javier Escobal, 2000. "Does Geography Explain Differences in Economic Growth in Peru?," Research Department Publications 3103, Inter-American Development Bank, Research Department.
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