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Immiserizing Growth: An Empirical Evaluation

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  • Yasuyuki Sawada

    (Faculty of Economics, University of Tokyo)

Abstract

This paper examines the empirical validity of immiserizing growth in a consistent manner. A straightforward test for immiserizing growth is constructed by using the revealed preference framework of welfare evaluation, together with macroeconomic growth data. We identify 34 episodes of immiserizing growth in the post-war world economy, mostly in Africa and Latin America. This suggests the existence of large distortions that outweigh the gains from growth.

Suggested Citation

  • Yasuyuki Sawada, 2003. "Immiserizing Growth: An Empirical Evaluation," CIRJE F-Series CIRJE-F-235, CIRJE, Faculty of Economics, University of Tokyo.
  • Handle: RePEc:tky:fseres:2003cf235
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    File URL: http://www.cirje.e.u-tokyo.ac.jp/research/dp/2003/2003cf235.pdf
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    References listed on IDEAS

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    1. Hamada, Koichi, 1974. "An economic analysis of the duty-free zone," Journal of International Economics, Elsevier, vol. 4(3), pages 225-241, August.
    2. Brecher, Richard A. & Diaz Alejandro, Carlos F., 1977. "Tariffs, foreign capital and immiserizing growth," Journal of International Economics, Elsevier, vol. 7(4), pages 317-322, November.
    3. Jagdish Bhagwati & Arvind Panagariya & T. N. Srinivasan, 1998. "Lectures on International Trade, 2nd Edition," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262522470, January.
    4. Kaplinsky, Raphael & Morris, Mike & Readman, Jeff, 2002. "The Globalization of Product Markets and Immiserizing Growth: Lessons From the South African Furniture Industry," World Development, Elsevier, vol. 30(7), pages 1159-1177, July.
    5. Sen, Amartya, 1979. "The Welfare Basis of Real Income Comparisons: A Survey," Journal of Economic Literature, American Economic Association, vol. 17(1), pages 1-45, March.
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    Cited by:

    1. Todorova, Tamara, 2010. "World Demand as a Determinant of Immiserizing Growth," EconStor Open Access Articles, ZBW - German National Library of Economics, pages 255-267.

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