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Sources of Economic Growth: A Global Perspective

Author

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  • Marcin Błażejowski

    (WSB University in Toruń, 87-100 Toruń, Poland)

  • Jacek Kwiatkowski

    (Nicolas Copernicus University, 87-100 Toruń, Poland)

  • Jakub Gazda

    (Poznan University of Economics and Business, 61-875 Poznań, Poland)

Abstract

The main goal of this paper is to determine the factors responsible for economic growth at the global level. The indication of the sources of economic growth may be an important element of the sustainable economic policy for development. The novelty of this research lies in employing an analysis based on data, which consist of an average growth rate of the Gross Domestic Product (GDP) for 168 countries for the years 2002–2013. The Bayesian model averaging approach is used to identify potential factors responsible for differences in countries’ GDPs. Additionally, a jointness analysis is performed to assess the potential independence, substitutability, and complementarity of the factors of economic growth. The robustness of the results is confirmed by Bayesian averaging of classical estimates. We identify the most probable factors of economic growth, and we find that the most important determinants are variables associated with the so-called “Asian development model”.

Suggested Citation

  • Marcin Błażejowski & Jacek Kwiatkowski & Jakub Gazda, 2019. "Sources of Economic Growth: A Global Perspective," Sustainability, MDPI, vol. 11(1), pages 1-14, January.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:1:p:275-:d:195617
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    More about this item

    Keywords

    sustainable economic policy; Bayesian model averaging; gretl; BACE;
    All these keywords.

    JEL classification:

    • C11 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Bayesian Analysis: General
    • E17 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Forecasting and Simulation: Models and Applications
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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