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Measuring Economic Growth from Outer Space: A Comment

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  • Berliant, Marcus
  • Weiss, Adam

Abstract

We examine econometric and elementary economic theory issues arising from the model specification in Henderson, Storeygard and Weil (2012), that uses night light data to proxy for missing or unreliable GDP growth data. An alternative approach based on the expenditure function is outlined. It can accommodate prices as well as quantity information from other commodity markets.

Suggested Citation

  • Berliant, Marcus & Weiss, Adam, 2017. "Measuring Economic Growth from Outer Space: A Comment," MPRA Paper 78602, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:78602
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    References listed on IDEAS

    as
    1. Jerison, Michael, 1984. "Aggregation and pairwise aggregation of demand when the distribution of income is fixed," Journal of Economic Theory, Elsevier, vol. 33(1), pages 1-31, June.
    2. J. Vernon Henderson & Adam Storeygard & David N. Weil, 2012. "Measuring Economic Growth from Outer Space," American Economic Review, American Economic Association, vol. 102(2), pages 994-1028, April.
    3. Kapoor, Mudit & Kelejian, Harry H. & Prucha, Ingmar R., 2007. "Panel data models with spatially correlated error components," Journal of Econometrics, Elsevier, vol. 140(1), pages 97-130, September.
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    Cited by:

    1. Jingxu Wang & Shike Qiu & Jun Du & Shengwang Meng & Chao Wang & Fei Teng & Yangyang Liu, 2022. "Spatial and Temporal Changes of Urban Built-Up Area in the Yellow River Basin from Nighttime Light Data," Land, MDPI, vol. 11(7), pages 1-14, July.
    2. Frank Bickenbach & Eckhardt Bode & Peter Nunnenkamp & Mareike Söder, 2016. "Night lights and regional GDP," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 152(2), pages 425-447, May.
    3. Xu Shengxia & Liu Qiang & Lu Xiaoli, 2021. "Measuring the Imbalance of Regional Development from Outer Space in China," Journal of Systems Science and Information, De Gruyter, vol. 9(5), pages 519-532, October.

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    More about this item

    Keywords

    GDP; Night light data; Omitted variable; Expenditure function; Spatial autocorrelation;
    All these keywords.

    JEL classification:

    • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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