Accounting for cross-country income differences

Description

"Why are some countries so much richer than others? Development Accounting is a first-pass attempt at organizing the answer around two proximate determinants: factors of production and efficiency. It answers the question "how much of the cross-country income variance can be attributed to differences in (physical and human) capital, and how much to differences in the efficiency with which capital is used?" Hence, it does for the cross-section what growth accounting does in the time series. The current consensus is that efficiency is at least as important as capital in explaining income differences. I survey the data and the basic methods that lead to this consensus, and explore several extensions. I argue that some of these extensions may lead to a reconsideration of the evidence"--National Bureau of Economic Research web site.

Subjects

Series Statement

• CEP discussion paper ;
• no. 667
• Discussion paper (London School of Economics and Political Science. Centre for Economic Performance : Online) ;

Links

• http://cep.lse.ac.uk/pubs/download/dp0667.pdf
• Abstract with link to full-text PDF report
• URL
• URL

Other Editions

• Accounting for cross-country income differencesNational Bureau of Economic Research2004-01-01
• Accounting for cross-country income differencesElectronic resourceCentre for Economic Performance, London School of Economics and Political Science2005
• Accounting for cross-country income differencesElectronic resourceNational Bureau of Economic Research2004-01-01