Economic Growth and Convergence: Global Analysis through Econometric and Hidden Markov Models

This book discusses real economic convergence, which is the gradual levelling-off of GDP per capita rates across economies. It provides a detailed overview of the history and theory, as well as two modern methods of assessing convergence: BMA-based and HMM-based. The lowest aggregation level study investigates regional convergence through the case of Polish voivodships, while the higher level of aggregation examines GDP convergence in various groups. The results are discussed, illustrated, interpreted, and compared, allowing readers to draw conclusions about the causes of convergence or divergence.

Format: Hardback
Length: 176 pages
Publication date: 01 July 2021
Publisher: Taylor & Francis Ltd

Economics is a complex field that encompasses a wide range of convergence phenomena, each requiring its own unique analysis approach. This comprehensive book delves into the concept of real economic convergence, which refers to the gradual reduction in GDP (gross domestic product) per capita rates across different economies.

The authors provide a detailed and holistic overview of the history and theory of convergence, while also introducing two modern methods for assessing its occurrence and rate: BMA-based and HMM-based. These methods are applied to an empirical analysis to examine the convergence issue within the context of automatic pattern recognition.

The book offers readers a comprehensive perspective on convergence by exploring it at various aggregation levels. The lowest aggregation level study focuses on regional convergence within Polish voivodships, where the convergence towards the leader is tested. On a higher level, the authors examine the existence of GDP convergence in various groups, including the EU28, North Africa and the Middle East, sub-Saharan Africa, South America, the Caribbean, South-East Asia, Australia and Oceania, and post-socialist countries.

For each group, the real β convergence is tested using both the BMA-based and HMM-based approaches, and the results are extensively discussed, illustrated, interpreted, and compared. The analysis provides valuable insights into the causes of convergence and the drivers behind divergence, allowing readers to draw interesting conclusions about the dynamics of economic development across different regions.

While the book stimulates further research in the field, it is primarily based on the perspective of individual countries. Nonetheless, its comprehensive coverage and insightful analysis make it a valuable resource for economists, policymakers, and researchers interested in understanding the complex dynamics of economic convergence.

Weight: 446g
Dimension: 161 x 241 x 19 (mm)
ISBN-13: 9780367774882