The growth diagnostics methodology pioneered by Hausmann et al. (2005) is becoming a key component of the toolkit for donor agencies to formulate their operational strategies. This paper aims at clarifying the primary objectives of the approach, and at highlighting some limitations for...

The key factor underlying China's fast development during the last 50 years is its ability to master and accumulate new and more complex capabilities, reflected in the increase in diversification and sophistication of its export basket. This accumulation was policy induced and not the result of...

'This is an extremely important and long-awaited book. The authors provide a cogent guide to all that is wrong with the theory and empirical applications of the discredited notion of an aggregate production function. Their critique has devastating implications for orthodox macroeconomics.'...