Matsuki, Takashi and Usami, Ryoichi (2008): Long-run growth patterns within Asian NIEs: Empirical analysis based on the panel unit root test, allowing the heterogeneity of time trend and endogenous multiple structural breaks.
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This study examines whether or not the convergence of per capita output—which is categorized as catching-up and long-run convergence, defined by Oxley and Greasley (1995)—exists within Asian newly industrializing economies (Asian NIEs), namely, Hong Kong, Singapore, South Korea, and Taiwan. The newly developed panel unit root test, which can allow for multiple structural breaks at various unknown break dates for each time series, is applied to the panels for 1960–2004, which includes the period of the Asian financial crisis. Moreover, in order to confirm the coexistence of the different growth patterns within the Asian NIEs, the heterogeneity—in terms of the inclusion or exclusion of a linear time trend and the types of breaks (in level or slope)—is allowed for each series in the test. The empirical results show that Hong Kong and Singapore have long-run convergence, whereas Korea and Taiwan are yet to converge with Hong Kong.
|Item Type:||MPRA Paper|
|Original Title:||Long-run growth patterns within Asian NIEs: Empirical analysis based on the panel unit root test, allowing the heterogeneity of time trend and endogenous multiple structural breaks|
|Keywords:||convergence; Asian NIEs; unit roots; nonstationary panels; structural breaks|
|Subjects:||O - Economic Development, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O47 - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
O - Economic Development, Technological Change, and Growth > O5 - Economywide Country Studies > O53 - Asia including Middle East
C - Mathematical and Quantitative Methods > C2 - Single Equation Models; Single Variables > C23 - Models with Panel Data; Longitudinal Data; Spatial Time Series
C - Mathematical and Quantitative Methods > C0 - General > C01 - Econometrics
|Depositing User:||Takashi Matsuki|
|Date Deposited:||12. Nov 2008 09:51|
|Last Modified:||11. Feb 2013 10:21|
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