IDEAS home Printed from https://ideas.repec.org/p/oec/ecoaaa/755-en.html
   My bibliography  Save this paper

Long-term growth and policy challenges in the large emerging economies

Author

Listed:
  • Paul Conway
  • Sean Dougherty
  • Artur Radziwill

Abstract

Taken together, Brazil, China, India, Indonesia and South Africa – the “BIICS” – have been an important engine for world growth, and they account for a growing share of global output. However, further reforms will be needed to ensure catch-up to OECD GDP per capita levels over the long term. This paper uses the OECD’s Going for Growth framework, as well as other available evidence linking policies to economic performance, to identify key structural policy challenges in the BIICS for the years ahead. While such challenges vary from country to country, common areas for reform include strengthening policies in the areas of education, product market regulation and labour markets, as well as improving more basic market institutions. This Working Paper relates to the OECD’s Economic Policy Reforms: Going for Growth 2010 (www.oecd.org/goingforgrowth) and the Economic Surveys of China, India, South Africa, Indonesia, and Brazil (www.oecd.org/eco/surveys) Croissance de long terme et défis de politique économique dans les grandes économies émergentes Pris ensemble, l’Afrique du Sud, le Brésil, la Chine, l’Inde et l’Indonésie - les « BIICS » - ont largement contribué à la croissance mondiale et ils représentent une part croissante de la production mondiale. Cependant, de nouvelles réformes seront nécessaires pour leur permettre de rattraper, à terme, les niveaux de PIB par habitant des pays de l’OCDE. Le présent chapitre utilise le cadre d’analyse mis au point par l’OCDE pour les besoins du projet Objectif croissance, ainsi que d’autres données établissant un lien entre les politiques publiques et la performance économique, pour identifier les principaux enjeux de politique structurelle auxquels les BIICS vont être confrontés dans les années à venir. Ces enjeux diffèrent selon les pays, mais un certain nombre de réformes communes semblent nécessaires, notamment pour renforcer les politiques publiques dans les domaines de l’éducation, de la réglementation des marchés de produits et du marché du travail, ainsi que pour améliorer certaines institutions fondamentales de l’économie de marché. Ce Document de travail se rapporte aux Réformes économiques: Objectif croissance 2010 (www.oecd.org/objectifcroissance) et aux Études économiques de l'OCDE de : la Chine, l’Inde, l’Afrique du Sud, l’Indonésie, et le Brésil (www.oecd.org/eco/etudes).

Suggested Citation

  • Paul Conway & Sean Dougherty & Artur Radziwill, 2010. "Long-term growth and policy challenges in the large emerging economies," OECD Economics Department Working Papers 755, OECD Publishing.
  • Handle: RePEc:oec:ecoaaa:755-en
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1787/5kmh79tm3n9r-en
    Download Restriction: no

    References listed on IDEAS

    as
    1. Davide Furceri & Annabelle Mourougane, 2009. "Taking Stock of Existing Structural Policy and Outcome Indicators," OECD Economics Department Working Papers 676, OECD Publishing.
    2. Andrea Bassanini & Luca Nunziata & Danielle Venn, 2009. "Job protection legislation and productivity growth in OECD countries," Economic Policy, CEPR;CES;MSH, vol. 24, pages 349-402, April.
    3. Caselli, Francesco, 2005. "Accounting for Cross-Country Income Differences," Handbook of Economic Growth,in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 9, pages 679-741 Elsevier.
    4. Haltiwanger, John C. & Scarpetta, Stefano & Schweiger, Helena, 2006. "Assessing Job Flows across Countries: The Role of Industry, Firm Size and Regulations," IZA Discussion Papers 2450, Institute for the Study of Labor (IZA).
    5. Lawrence M. Kahn, 2007. "The Impact of Employment Protection Mandates on Demographic Temporary Employment Patterns: International Microeconomic Evidence," Economic Journal, Royal Economic Society, vol. 117(521), pages 333-356, June.
    6. S.K. Bhutani, 2009. "China and India," India Quarterly: A Journal of International Affairs, , vol. 65(4), pages 383-391, October.
    7. Howitt, Peter & Mayer-Foulkes, David, 2005. "R&D, Implementation, and Stagnation: A Schumpeterian Theory of Convergence Clubs," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 37(1), pages 147-177, February.
    8. Anita Wölfl & Isabelle Wanner & Tomasz Koźluk & Giuseppe Nicoletti, 2009. "Ten Years of Product Market Reform in OECD Countries: Insights from a Revised PMR Indicator," OECD Economics Department Working Papers 695, OECD Publishing.
    9. Olivier Blanchard & Francesco Giavazzi, 2003. "Macroeconomic Effects of Regulation and Deregulation in Goods and Labor Markets," The Quarterly Journal of Economics, Oxford University Press, vol. 118(3), pages 879-907.
    10. Thorsten Beck & Luc Laeven, 2006. "Institution building and growth in transition economies," Journal of Economic Growth, Springer, vol. 11(2), pages 157-186, June.
    11. repec:wbk:wbpubs:27762 is not listed on IDEAS
    12. Daniel Cohen & Marcelo Soto, 2007. "Growth and human capital: good data, good results," Journal of Economic Growth, Springer, vol. 12(1), pages 51-76, March.
    13. Giuseppe Nicoletti & Stefano Scarpetta, 2005. "Product Market Reforms and Employment in OECD Countries," OECD Economics Department Working Papers 472, OECD Publishing.
    14. Asep Suryahadi & Wenefrida Widyanti & Daniel Perwira & Sudarno Sumarto, 2003. "Minimum Wage Policy And Its Impact On Employment In The Urban Formal Sector," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 39(1), pages 29-50.
    15. Andreas Savvides & Marios Zachariadis, 2005. "International Technology Diffusion and the Growth of TFP in the Manufacturing Sector of Developing Economies," Review of Development Economics, Wiley Blackwell, vol. 9(4), pages 482-501, November.
    16. Chang-Tai Hsieh & Peter J. Klenow, 2009. "Misallocation and Manufacturing TFP in China and India," The Quarterly Journal of Economics, Oxford University Press, vol. 124(4), pages 1403-1448.
    17. Eric A. Hanushek & Ludger Woessmann, 2008. "The Role of Cognitive Skills in Economic Development," Journal of Economic Literature, American Economic Association, vol. 46(3), pages 607-668, September.
    18. Howitt, Peter & Aghion, Philippe, 2006. "Appropriate Growth Policy: A Unifying Framework," Scholarly Articles 4554121, Harvard University Department of Economics.
    19. Stephen S. Golub, 2009. "Openness to Foreign Direct Investment in Services: An International Comparative Analysis," The World Economy, Wiley Blackwell, vol. 32(8), pages 1245-1268, August.
    20. Sean M. Dougherty, 2009. "Labour Regulation and Employment Dynamics at the State Level in India," Review of Market Integration, India Development Foundation, vol. 1(3), pages 295-337, December.
    21. Douglas Sutherland & Sonia Araujo & Balázs Égert & Tomasz Koźluk, 2009. "Infrastructure Investment: Links to Growth and the Role of Public Policies," OECD Economics Department Working Papers 686, OECD Publishing.
    22. Walter G. Park & Douglas C. Lippoldt, 2008. "Technology Transfer and the Economic Implications of the Strengthening of Intellectual Property Rights in Developing Countries," OECD Trade Policy Papers 62, OECD Publishing.
    23. Braga, C.A.P. & Fink, C. & Sepulveda, C.P., 2000. "Intellectual Property Rights and Economic Development," World Bank - Discussion Papers 412, World Bank.
    24. Xavier Sala-I-Martin & Gernot Doppelhofer & Ronald I. Miller, 2004. "Determinants of Long-Term Growth: A Bayesian Averaging of Classical Estimates (BACE) Approach," American Economic Review, American Economic Association, vol. 94(4), pages 813-835, September.
    25. Francesco Caselli & Wilbur John Coleman II, 2006. "The World Technology Frontier," American Economic Review, American Economic Association, vol. 96(3), pages 499-522, June.
    26. Danielle Venn, 2009. "Legislation, Collective Bargaining and Enforcement: Updating the OECD Employment Protection Indicators," OECD Social, Employment and Migration Working Papers 89, OECD Publishing.
    27. Paul Conway & Donato de Rosa & Giuseppe Nicoletti & Faye Steiner, 2007. "Product market regulation and productivity convergence," OECD Economic Studies, OECD Publishing, vol. 2006(2), pages 39-76.
    28. Dominik H. Enste & Friedrich Schneider, 2000. "Shadow Economies: Size, Causes, and Consequences," Journal of Economic Literature, American Economic Association, vol. 38(1), pages 77-114, March.
    29. Jens Arnold & Giuseppe Nicoletti & Stefano Scarpetta, 2008. "Regulation, Allocative Efficiency and Productivity in OECD Countries: Industry and Firm-Level Evidence," OECD Economics Department Working Papers 616, OECD Publishing.
    30. Antonio Estache & Marianne Fay, 2009. "Current Debates on Infrastructure Policy," World Bank Publications, The World Bank, number 27762, October.
    31. Philippe Aghion & Wendy Carlin & Mark Schaffer, 2002. "Competition, Innovation and Growth in Transition: Exploring the Interactions between Policies," William Davidson Institute Working Papers Series 501, William Davidson Institute at the University of Michigan.
    32. Acemoglu, Daron & Johnson, Simon & Robinson, James A., 2005. "Institutions as a Fundamental Cause of Long-Run Growth," Handbook of Economic Growth,in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 6, pages 385-472 Elsevier.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    education; income; indicateurs; indicators; institutions; institutions; pauvreté; politique structurelle; poverty; reforms; regulation; revenus; réformes; régulation; structural policy; éducation;

    JEL classification:

    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • P5 - Economic Systems - - Comparative Economic Systems

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:oec:ecoaaa:755-en. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: http://edirc.repec.org/data/edoecfr.html .

    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 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.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.