Using international data starting in 1957, we construct a sample of cases where fast-growing economies slow down. The evidence suggests that rapidly growing economies slow down significantly, in the sense that the growth rate downshifts by at least 2 percentage points, when their per capita incomes reach around US$ 17,000 in year-2005 constant international prices, a level that China should achieve by or soon after 2015. Among our more provocative findings is that growth slowdowns are more likely in countries that maintain undervalued real exchange rates.
|Number of pages||46|
|Journal||Asian Economic Papers|
|Publication status||Published - 2012 Jan|
ASJC Scopus subject areas
- Economics and Econometrics
- Political Science and International Relations