Higgins, Matthew and Young, Andrew and Levy, Daniel (2007): Robust Correlates of County-Level Growth in the U.S.
Download (54kB) | Preview
Higgins et al. (2006) report several statistically significant partial correlates with U.S. per capita income growth. However, Levine and Renelt (1992) demonstrate that such correlations are hardly ever robust to changing the combination of conditioning variables included. We ask whether the same is true for the variables identified as important by Higgins et al. Using the extreme bounds analysis of Levine and Renelt, we find that the majority of the partial correlations can be accepted as robust. The variables associated with those partial correlations stand solidly as variables of interest for future studies of U.S. growth.
|Item Type:||MPRA Paper|
|Institution:||Georgia Institute of Technology, University of Mississippi, and Bar-Ilan University|
|Original Title:||Robust Correlates of County-Level Growth in the U.S.|
|Keywords:||Economic Growth; Conditional Convergence; Extreme Bounds Analysis; County-Level Data;|
|Subjects:||O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O40 - General
R - Urban, Rural, Regional, Real Estate, and Transportation Economics > R1 - General Regional Economics > R11 - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
O - Economic Development, Innovation, Technological Change, and Growth > O5 - Economywide Country Studies > O51 - U.S. ; Canada
H - Public Economics > H5 - National Government Expenditures and Related Policies > H50 - General
O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O47 - Empirical Studies of Economic Growth ; Aggregate Productivity ; Cross-Country Output Convergence
O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O18 - Urban, Rural, Regional, and Transportation Analysis ; Housing ; Infrastructure
H - Public Economics > H7 - State and Local Government ; Intergovernmental Relations > H70 - General
O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O11 - Macroeconomic Analyses of Economic Development
|Depositing User:||Daniel Levy|
|Date Deposited:||05. May 2007|
|Last Modified:||25. Mar 2015 14:33|
References Barro, R.J., Sala-i-Martin, X.X., 1992 Convergence. Journal of Political Economy 100, 223-251. Evans, P, 1997. How fast do economies converge? Review of Economics and Statistics 36, 219-25. Evans, P., 1997. Consistent estimation of growth regressions. Unpublished Manuscript, available at http://economics.sbs.ohiostate.edu/pevans/pevans.html. Evans, P., Karras, G., 1996. Do economies converge? evidence from a panel of U.S. states. Review of Economics and Statistics 78, 384–388. Evans, P, Karras, G, 1996. Convergence revisited. Journal of Monetary Economics 37, 249–265. Higgins, M.J., Levy, D., Young, A.T., 2006. Growth and convergence across the U.S: evidence from county-level data. Review of Economics and Statistics 88, 671-681. Leamer, E. 1983. Let’s take the con out of econometrics. American Economic Review 73, 31-43. Leamer, E., 1985. Sensitivity analysis would help. American Economic Review 75, 308-313. Levine, R., Renelt, D., 1992. A sensitivity analysis of cross-country growth regressions. American Economic Review 82, 942–963. Levine, R., 2005. Finance and growth: theory and evidence. in Handbook of Economic Growth, Aghion P., Durlaf, S. eds. Elsevier Science, Netherlands. Sala-i-Martin, X., Doppelhofer, G., Miller, R., 2004. Determinants of long-term growth: a Bayesian averaging of classical estimates (BACE) approach. American Economic Review 94, 813-835. Young, A.T., Higgins, M.J., and Levy D., 2006. Heterogeneous convergence. working paper. Young, A.T., Higgins, M.J., and Levy, D., 2007. Sigma convergence versus beta convergence: evidence from US county-level data. Journal of Money, Credit and Banking forthcoming.