TY  - JOUR
AU  - Blomstrom,Magnus
AU  - Lipsey,Robert E.
AU  - Zejan,Mario
TI  - What Explains Developing Country Growth?
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 4132
PY  - 1994
Y2  - December 1994
UR  - http://www.nber.org/papers/w4132
L1  - http://www.nber.org/papers/w4132.pdf
N1  - Author contact info:
Magnus Blomstrom
European Institute of Japanese Studies
Stockholm School of Economics
Post Office Box 6501, Sveavagen 65
S-113 83 Stockholm
 SWEDEN
Tel: 46-8-7369265
Fax: 46-8-313017
E-Mail: magnus.blomstrom@gmail.com

Robert E. Lipsey
NBER
365 Fifth Avenue, Suite 5318
New York, NY 10016-4309
Tel: 212/817-7961
Fax: 212/817-1597
E-Mail: N/A user is deceased

Mario Zejan
M2  - featured in NBER digest on 1993-01-01
AB  - Among developing countries, there was no gross relationship between real income per capita in 1960 and subsequent growth in per capita income. However, once other significant influences, such as education, changes in labor force participation rates, inflows of foreign investment, price structures, and fixed investment ratios are taken into account, the lower the 1960 income level, the faster the income growth. This "conditional" convergence was particularly strong among the poorest half of the developing countries, contradicting the idea of a "convergence club" confined to relatively well-off countries. Inflows of direct investment were an important influence on growth rates for higher income developing countries, but not for lower income ones. For the latter group, secondary education, changes in labor force participation rates, and initial distance behind the United States were all major factors.
ER  -