DOES EXPORT DIVERSIFICATION LEAD TO INCOME CONVERGENCE? EVIDENCE FROM CROSS-COUNTRY ANALYSIS

Authors

Vaseem Akram, Indian Institute of Management Jammu, IndiaFollow
Badri Narayan Rath, Indian Institute of Technology Hyderabad, IndiaFollow

Document Type

Article

Abstract

In this study, we examine the role of export diversification in the convergence of per capita income (output). By applying the dynamic system Generalized Method of Moments (GMM) estimator to a panel dataset consisting of 95 countries, we find evidence of both absolute and conditional divergence for the full sample and the subsamples based on income and regions. Thus, our findings suggest that, although high export diversification boosts the per capita income (output), it does not significantly reduce per capita income (output) gap between rich and poor countries.

Recommended Citation

Akram, Vaseem and Rath, Badri Narayan (2020) "DOES EXPORT DIVERSIFICATION LEAD TO INCOME CONVERGENCE? EVIDENCE FROM CROSS-COUNTRY ANALYSIS," Bulletin of Monetary Economics and Banking: Vol. 23: No. 3, Article 4.
DOI: https://doi.org/10.21098/bemp.v23i3.1251
Available at: https://bulletin.bmeb-bi.org/bmeb/vol23/iss3/4

First Page

319

Last Page

346

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License

Country

India

Affiliation

Indian Institute of Management Jammu