The People’s Republic of China's Potential Growth Rate: The Long-Run Constraints
Published By: Asian Development Bank | Published Date: November, 01 , 2014In this paper People’s Republic of China’s (PRC’s) potential growth rate during the last 30 years is analysed. The PRC’s potential growth rate is not demand constrained, in particular by the balance of payments. The PRC’s potential growth rate is determined by the supply side of the economy, in particular by: (i) changes in the structure of the economy, in particular in the share of industrial employment; (ii) the working-age population; (iii) the share of net exports in gross domestic product (GDP); (iv) export growth; (v) the share of foreign direct investment (FDI) in GDP; and (vi) human capital accumulation.
Author(s): Juzhong Zhuang, Matteo Lanzafame, Jesus Felipe | Posted on: Mar 27, 2015 | Views() | Download (490)