TY  - JOUR
AU  - Klein,Michael W.
TI  - Capital Account Openness and the Varieties of Growth Experience
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 9500
PY  - 2003
Y2  - February 2003
UR  - http://www.nber.org/papers/w9500
L1  - http://www.nber.org/papers/w9500.pdf
N1  - Author contact info:
Michael W. Klein
Fletcher School
Tufts University
Medford, MA 02155
Tel: (617) 627-2718
Fax: (617) 627-3712
E-Mail: michael.klein@tufts.edu
AB  - The effects of capital account openness on economic growth may vary across countries. Some countries may not have in place the constellation of institutions required to fully benefit from open capital accounts. Other countries may realize only small marginal improvements in the wake of capital account liberalization. This paper presents evidence of an inverted-U shaped relationship between the responsiveness of growth to capital account openness and income per capita. Middle-income countries benefit significantly from capital account openness. However, neither rich nor poor countries exhibit statistically significant positive effects. A similar inverted-U shaped relationship is found between the responsiveness of growth to capital account openness and various indicators of government quality.
ER  -