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The Trade-Growth Nexus in Taiwan's Development

Author

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  • Ranis, G

Abstract

This paper analyzes Taiwan's post-World War II development success as a consequence of the mutually beneficial interactions between its export performance and domestic growth. Not only does trade stimulate growth, but the reverse causality also holds true. Growth enhances trade performance by augmenting domestic response capapbilities to new export opportunities, and by stimulating previously dormant demands for goods and services, thereby creating a two-way linkage.

Suggested Citation

  • Ranis, G, 1996. "The Trade-Growth Nexus in Taiwan's Development," Papers 758, Yale - Economic Growth Center.
  • Handle: RePEc:fth:yalegr:758
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    More about this item

    Keywords

    TAIWAN; TRADE DEVELOPMENT; EXPORT DIVERSIFICATION; INDUSTRIALIZATION;

    JEL classification:

    • N65 - Economic History - - Manufacturing and Construction - - - Asia including Middle East
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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