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Saving Rate, Total Factor Productivity and Growth Process for Developing Countries

Author

Listed:
  • Cuong Le Van

    (CNRS, CES, Hanoi WRU, VCREME)

  • Tu Anh Nguyen

    (Central Institute for Economic Management, CIEM, Vietnam)

  • Tran Dinh Tuan

Abstract

The Solow [1957] implies that the TFP is the core factor of economic growth. If the economy bases merely on capital accumulation without technological progress, the diminishing returns on capital accumulation will eventually de- presses economic growth to zero. Accordingly, Solowian supporters attribute the miracle economic growths in Newly Industrialized Economies (NIEs) in sec- ond half of 20th century to adoption of technologies previously developed by more advanced economies. Pack [1992] suggests "the source of growth in a few Asian economies was their ability to extract relevant technological knowledge from industrial economies and utilize it productively within domestic economy.

Suggested Citation

  • Cuong Le Van & Tu Anh Nguyen & Tran Dinh Tuan, 2013. "Saving Rate, Total Factor Productivity and Growth Process for Developing Countries," Working Papers 155, Development and Policies Research Center (DEPOCEN), Vietnam.
    • Handle: RePEc:dpc:wpaper:0513
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