Parameter Heterogeneity and Model Uncertainty in Growth Empirics

Prof. Chris Papageorgiou (Louisiana State University) - March 19-21, 2007

Recent papers by Brock and Durlauf (2000) and Durlauf (2001) argue that the conventional Mankiw, Romer and Weil (1992) cross-country linear regression model imposes strong homogeneity assumptions on the growth process. Assuming parameter homogeneity in growth regressions is equivalent to assuming that all countries have an identical Cobb-Douglas (CD) aggregate production function. This is clearly an implausible assumption as there is nothing in the empirical or theoretical growth literature to suggest that the effect of a change in a particular variable (such as education or the savings rate) on economic growth is the same across countries. In the words of Brock and Durlauf “... the assumption of parameter homogeneity seems particularly inappropriate when one is studying complex heterogenous objects such as countries.”

Lecturer:
Prof. Chris Papageorgiou (Louisiana State University & International Monetary Fund)

Dates:
March 19: 01.30 to 03.00 p.m. and 3.30 to 5.00 p.m.
March 20: 10.00 to 12.30 a.m. and 2.00 to 4.00 p.m.
March 21: 10.00 to 12.30 a.m. and 2.00 to 4.00 p.m.

Short description of the course, including contents and references.

Downloads

DownloadMultiple Regimes and Cross-Country Growth Behaviour (PDF, 2.1 MB) (Durlauf and Johnson, 1995)
DownloadSample Splitting and Threshold Estimation (PDF, 227 KB) (Hansen, 2000)
DownloadModel Uncertainty in Cross-Country Regressions (PDF, 175 KB) (Fernandez, Ley and Steel, 2001)
DownloadThe Solow Model with CES Technology: Nonlinearities and Parameter Heterogeneity (PDF, 563 KB) (Masanjala and Papgeorgiou, 2004)
DownloadNonlinearities in Capital-Skill Complementarity (PDF, 409 KB) (Papageorgiou and Chmelarova, 2004)
DownloadDeterminants of Long-Term Growth: A Bayesian Averaging of Classical Estimates (BACE) Approach (PDF, 1.1 MB) (Sala-i-Martin, Doppelhofer and Miller, 2004)
DownloadRough and Lonely Road to Prosperity: A reexamination of the sources of growth in Africa using Bayesian Model Averaging (PDF, 258 KB) (Masanjala and Papageorgiou, 2006)
DownloadUnraveling the Fortunes of the Fortunate: An Iterative Bayesian Model Averaging (IBMA) Approach (PDF, 205 KB) (Eicher, Papageorgiou and Roehn, 2007)
DownloadInitial Conditions and Post-War Growth in sub-Saharan Africa (PDF, 312 KB) (Masanjala and Papageorgiou, 2007)

Additional Information

SURED

The SURED 2022 conference took place June 6 - 9, 2022. We celebrated the tenth edition of a very successful series!
The Journal of Environmental Economics and Management will publish a special issue about SURED 2022.
The SURED 2020 conference took place October 19 - October 22, 2020.
external pageThe European Economic Review published a special issue about SURED 2020.

EAERE-ETH European Winter School

The EAERE-ETH European Winter School 2020 took place January 26-31, 2020.

The Winter Schools 2021 and 2023 took place in January - February 2023.