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2007 AEC -Rethinking Economic Growth in a Globalizing World: an Economic Geography lens

11-sep-2007

The role of trade – especially modern sector exports – in economic growth is now increasingly clear. The Asian experience is well documented, and a number of recent studies point to the role of exports in growth accelerations. For example, Jones and Olken (2006) identify growth accelerations, and show that these are associated with an average 13 percentage point increase in the share of trade in income (over a 5 year period) as well as an acceleration of the rate of transfer of labor into manufacturing. Pattillo et al (2005) point to the association between growth accelerations and trade in sub-Saharan Africa.1

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