Glimpsing the End of Economic History? Unconditional Convergence and the Missing Middle Income Trap
Published By: Center for Global Development, CGS on eSS | Published Date: October, 01 , 2016This paper suggests a reinterpretation of global growth—encompassing notions of unconditional convergence and the middle income trap—in the past 50 years through the lens of growth theory. Two modes of convergence are studied: a classic “Solow” model where poorer countries catch up by growing faster on average; and a new “Wilde” model where catch-up growth is interpreted as growing faster than the frontier country, the United States. These modes to both countries and people as units of analysis. There is a convergence has occurred faster and began earlier than widely believed [Working Paper 438].
Author(s): Sutirtha Roy, Martin Kessler, Arvind Subramanian | Posted on: Oct 10, 2016 | Views() | Download (592)