Dataset / Tabular

The Role of Macroeconomic Factors in Growth 1961-1988 (Afghanistan, Angola, Argentina...and 110 more)

author(s) Stanley Fischer
from World Bank Group (WB)
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themes
regions
  • Northern America
  • Americas
  • World
  • South America
  • Latin America and the Caribbean
  • Middle Africa
  • Sub-Saharan Africa
  • Africa
  • Southern Asia
  • Asia
  • Southern Europe
  • Europe
  • Eastern Africa
  • Western Asia
  • South-Eastern Asia
  • Eastern Asia
  • Northern Africa
  • Caribbean
  • Western Africa
  • Southern Africa
  • Central America
  • Eastern Europe
  • Melanesia
  • Oceania
  • Australia and New Zealand
  • Northern Europe
citation

Stanley Fischer, 'The Role of Macroeconomic Factors in Growth 1961-1988 (Afghanistan, Angola, Argentina...and 110 more)', 2011

Publications and datasets provided via GARDIAN

Abstract

Data used in Stan Fischer's paper, The Role of Macroeconomic Factors in Growth (JME, 1993).

Using a regression analog of growth accounting, the author presents cross-sectional and panel regressions showing that growth is negatively associated with inflation, large budget deficits, and distorted foreign exchange markets. Supplementary evidence suggests that the causation runs from macroeconomic policy to growth. The framework makes it possible to identify the channels of these effects: inflation reduces growth by reducing investment and productivity growth; budget deficits also reduce both capital accumulation and productivity growth. Examination of exceptional cases shows that while low inflation and small deficits are not necessary for high growth even over long periods, high inflation is not consistent with sustained growth.

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