Economic growth: sources, trends and cycles
The importance of economic growth cannot be overstated. Income growth is essential for achieving economic, social, and even political development. In recent years, an enormous amount of talent and effort has been invested in understanding the process of economic growth, making it one of the most dynamic fields in economic analysis. The collection of studies included in this volume contributes to the growth literature on two dimensions. First, it provides a systematic account of the characteristics surrounding economic growth as it occurs in industrial and, particularly, developing countries. Some of the essays revisit the question of what drives long-run economic growth, while others analyze the consequences that growth has on various aspects of development and welfare. These studies share a concern for identifying the most efficient policies to promote or facilitate growth. They thus critically analyze a broad spectrum of policies, including financial development, public infrastructure, regulatory framework, and direct government intervention in industrial policies. The second contribution of this volume is to address new and potentially crucial questions on the intricate relationship between economic growth and cyclical fluctuations. In this regard, the volume presents essays that deal with the issue of distinguishing changes in long-run trends from persistent cyclical fluctuations, others that provide analytical models or statistical techniques for examining the effect of business cycles on long-run growth, and still others that discuss the macroeconomic policies that lead to growth recovery from negative shocks. Taken as a whole, this volume examines the process of economic growth from a developing country perspective that emphasizes policy implications for the sources of recovery and long-run performance.The sources of economic growth: an overview / Norman Loayza, Raimunco Soto -- Fifteen years of new growth economics: what have we learned? / Xavier Sala-i-Martin -- It's not factor accumulation: stylized facts and growth models / William Easterly, Ross Levine -- Reviewing the evidence against absolute convergence / Rómulo A. Chumacewro -- Quantity and quality of economic growth / Robert J. Barro -- Policy evaluation and empirical growth research / Steven N. Durlauf -- The effects of business cycles on growth / Antonio Fatás -- Trends, cycles, and convergence / Andrew C. Harvey -- Industrial policies and growth, lessons from international experience / Marcus Noland, Howard Pack -- Productivity and economic growth: the case of Chile / Harald Beyer and Rodrigo Vergara -- Finance and growth: new evidence and policy analyses for Chile / Maria Carkovic and Ross Levine -- Coping with Chile’s external vulnerability: a financial problem / Ricardo Caballero -- Golden period for growth in Chile, explanations and forecasts / Francisco Gallego and Norman Loayza -- Growth and adjustment in Chile: a look at the 1990s / Vittorio Corbo and José Tessada -- Estimating gaps and trends for the chilean economy / Gabriela Contreras and Pablo García.