How to make an economy more complex? The determinants of complexity in historical perspective

I. L. Lyubimov () and A. G. Ospanova ()

Voprosy Ekonomiki, 2019, issue 2

Abstract: A higher level of per capita income is associated with a better diversified and more complex export basket. Moreover, a number of results indicate that this relationship might be causal. However, what affects the level of economic complexity itself is yet to be established. In this paper, we focus on a small list of potential determinants of economic complexity. We show that a higher level of complexity is associated with a higher level of human capital accumulation. It is also linked to the initial level of complexity through an inverse U-shaped relationship. These findings survive a number of key robustness checks.

Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:nos:voprec:y:2019:id:2142

DOI: 10.32609/0042-8736-2019-2-36-53

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