Recent literature contains many stories of how foreign aid affects economic growth. All the stories hinge on the statistical significance in cross-country regressions of a quadratic term involving aid. Among the stories are that aid raises growth (on average) 1) in countries where economic...

The econometric analysis of economic growth has always been subject to major flaws and shortcomings. Data scarcity and reliability, parameter heterogeneity, omitted variables bias, endogeneity problems, ... have seriously tainted estimation results. In this paper we propose an alternative...

Wavelet analysis, although used extensively in disciplines such as signal processing, engineering, medical sciences, physics and astronomy, has not yet fully entered the economics discipline. In this discussion paper, wavelet analysis is introduced in an intuitive manner, and the existing...

In the paper we construct two novel indices of relative centrality – peripheriality in order to test whether location has an impact on medium and long-run gains related to economic integration within the European Union. We utilize two popular econometric approaches – standard cross-...

We present evidence of the relationship between trade-openness and growth in the sample of former communist countries before and after the transition from a central planned economy (CPE) to a market economy by applying standard OLS and panel estimation techniques. The main finding is that during...

Lucas (2004) asserts that 'Of the tendencies that are harmful to sound economics, the most seductive, and in my opinion, the most poisonous, is to focus on questions of distribution...The potential for improving the lives of poor people by finding different ways of distributing current...

Our aim in this paper is to test the robustness of the relation between total factor productivity growth and inflation to the specification of the model adopted for its identification. In doing so we estimate a generalized Box-Box cost function using data from the two-digit Standard Industrial...

In most OECD countries, the business services industry has grown much faster than the market sector as a whole. The industry in most cases, however, has displayed stagnating productivity growth, in some periods even a fall in productivity. Does this fast-growing industry with a bad productivity...

The study of the stylized facts of economic growth has allowed an advance of this field of economic analysis in its empirical and theorical works. Today, Health Economics is faced with new requirements of society, i.e. better care at a sustainable cost. Furthermore, since the problems linked...

Based on the partial distribution1 and the developower (development power) 2, this paper puts forward the golden growth law in economic process for the first time. The law describes the optimal relation between the economic investment and the economic growth, and could be taken as a basis to...