HOW MUCH DO DISTORTIONS AFFECT GROWTH

• 成果类型: Article
• 署名作者: EASTERLY, W
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/0304-3932(93)90002-W
• 发表日期: 1993
• 页码: 187-212
• 关键词: growth

摘要

This paper presents a simple endogenous growth model with two types of capital which can display sizeable long-run growth effects of distortionary policies. The model applies to many different types of distortions of relative prices common in developing countries, such as differential taxes and tariffs, black market exchange rates, and price controls. The model shows that a subsidy to one type of capital financed by a tax on another capital good lowers growth. A measure of the variance of relative prices of investment goods across sectors has a negative and statistically significant effect on growth.