Cross-Country Variations in Aggregate Volatility: Evidence from 56 Countries
Relationships between country size (measured by both population and aggregate GDP) and standard of living (measured by per capita GDP) and the volatilities of aggregate output, consumption, and investment are investigated for a sample of 56 countries. Both characteristics are shown to be negatively related to the volatilities of the growth rates of all three aggregate for the period 1950-85. The relationships between the importance of nontradable goods (measured by the ratio of consumption expenditures on nontradables to expenditures on tradables) and the volatilities of aggregates are studied for a sub-sample of 23 countries. This characteristic and volatilities of all three aggregates are shown to be negatively related. These results are consistent with the predictions of theoretical models studied by Crucini (1990) and Head (1991).
|Date of creation:||Sep 1991|
|Contact details of provider:|| Postal: Kingston, Ontario, K7L 3N6|
Phone: (613) 533-2250
Fax: (613) 533-6668
Web page: http://qed.econ.queensu.ca/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:qed:wpaper:832. 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: (Mark Babcock)
If references are entirely missing, you can add them using this form.