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NHH Brage
Research . 2011
Data sources: NHH Brage
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Apollo
Research . 2011
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SSRN Electronic Journal
Article . 2011 . Peer-reviewed
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SSRN Electronic Journal
Article . 2011 . Peer-reviewed
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EconStor
Research . 2011
Data sources: EconStor
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Robust Growth Determinants

Authors: Doppelhofer, Gernot; Weeks, Melvyn;

Robust Growth Determinants

Abstract

This paper investigates the robustness of determinants of economic growth in the presence of model uncertainty, parameter heterogeneity and outliers. The robust model averaging approach introduced in the paper uses a flexible and parsimonious mixture modeling that allows for fat-tailed errors compared to the normal benchmark case. Applying robust model averaging to growth determinants, the paper finds that eight of eighteen variables found to be significantly related to economic growth by Sala-i-Martin et al. (2004) are sensitive to deviations from benchmark model averaging. For example, the GDP shares of mining or government consumption, are no longer robust or economically significant once deviations from the normal benchmark assumptions are allowed. The paper identifies outlying observations - most notably Botswana - in explaining economic growth in a cross-section of countries.

Countries
United Kingdom, Norway
Related Organizations
Keywords

O20, VDP::Samfunnsvitenskap: 200::Økonomi: 210::Samfunnsøkonomi: 212, Welt, Heteroscedasticity, O47, C52, Determinants of Economic Growth, determinants of economic growth, Messung, Outliers, robust model averaging, mixture models, C11, Determinants of Economic Growth; Robust Model Averaging; Heteroscedasticity; Outliers; Mixture models., Wirtschaftswachstum, ddc:330, O50, outliers, determinants of economic growth, robust model averaging, heteroscedasticity, outliers, mixture models, Modell-Spezifikation, Robust Model Averaging, heteroscedasticity, Bayes-Statistik, Mixture models, C21, Sozialprodukt, jel: jel:C21, jel: jel:O20, jel: jel:O47, jel: jel:C52, jel: jel:C11, jel: jel:O50

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    popularity
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    influence
    This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
10
Average
Average
Average
Green
bronze