Skip to main content

A new interpretation of Kaldor's first growth law for open developing economies

Pacheco-Lopez, Penelope, Thirlwall, A.P. (2014) A new interpretation of Kaldor's first growth law for open developing economies. Review of Keynesian Economics, 2 (3). pp. 384-398. ISSN 2049-5323. (doi:10.4337/roke.2014.03.07) (The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided)

The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided. (Contact us about this Publication)
Official URL
http://dx.doi.org/10.4337/roke.2014.03.07

Abstract

Kaldor's first law of growth posits a positive causal relation between the growth of manufacturing output and the growth of GDP due to static and dynamic returns to scale in manufacturing and rising productivity outside the manufacturing sector as resources are transferred from diminishing returns activities. In an open economy, however, the Kaldor first law of growth is open to another interpretation because it is apparent across countries that there is a close association between manufacturing output growth and export growth, and between export growth and GDP growth. Results are presented for 89 developing countries over the period 1990–2011, also distinguishing between low income, lower-middle income and upper-middle income countries, and between the continents of Africa, Asia and Latin America.

Item Type: Article
DOI/Identification number: 10.4337/roke.2014.03.07
Uncontrolled keywords: Kaldor's growth laws, manufacturing growth, export growth, GDP growth
Subjects: H Social Sciences > HB Economic Theory
Divisions: Faculties > Social Sciences > School of Economics
Depositing User: Lisa Jones
Date Deposited: 12 Jul 2016 14:03 UTC
Last Modified: 08 Feb 2020 04:08 UTC
Resource URI: https://kar.kent.ac.uk/id/eprint/56266 (The current URI for this page, for reference purposes)
Thirlwall, A.P.: https://orcid.org/0000-0002-1661-2218
  • Depositors only (login required):