Abstract:
The proposition that trade causes economic growth has enriched international economic theory. Even so, how best to estimate and test for the effects of trade on economic growth remains a challenge to-date, mainly because of the joint determination of the empirical measures of both trade and economic growth. Professors Jeffrey Frankel and David Romer have offered and employed an insightful method of constructiong an IV for trade that is less troubling than previous attempts. Yet the new method too has some small problems. This comment points out those problems and suggests possible improvements.
Keywords:trade; as; a; cause; of; economic; growth (search for similar items in EconPapers) JEL-codes:O40F43 (search for similar items in EconPapers) Date: 2003-07-15 Note: Type of Document - WordPerfect; prepared on IBM PC - PC; to print on HP/PostScript; pages: 7 ; figures: included. I never published this piece and now I would like to reduce our mailing and xerox cost by posting it. View list of references