EconPapers    
Economics at your fingertips  
 

The Balance-of-Payments-Constrained Growth Model and the Limits to Export-Led Growth

Robert Blecker ()

East Asian Economic Review, 2000, vol. 4, issue 4, 79-108

Abstract: This paper discusses how A. P. Thirlwall's model of balance-of-payments-constrained growth can be adapted to analyze the idea of a "fallacy of composition" in the export-led growth strategy of many developing countries. The Deaton-Muellbauer model of the Almost Ideal Demand System (AIDS) is used to represent the adding-up constraints on individual countries' exports, when they are all trying to export competing products to the same foreign markets (i.e. newly industrializing countries are exporting similar types of manufactured goods to the OECD countries). The relevance of the model to the recent financial crises in developing countries and policy alternatives for redirecting development strategies are also discussed.

Keywords: Export-led Growth; Balance Of Payments: Newly Industrializing Countries: Almost Ideal Demand System (search for similar items in EconPapers)
JEL-codes: F13 F14 (search for similar items in EconPapers)
Date: 2000
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://dx.doi.org/10.11644/KIEP.JEAI.2000.4.4.74 Full text (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ris:eaerev:0250

Access Statistics for this article

East Asian Economic Review is currently edited by JE Lee

More articles in East Asian Economic Review from Korea Institute for International Economic Policy [30147] 3rd Floor Building C Sejong National Research Complex 370 Sicheong-daero Sejong-si, Korea. Contact information at EDIRC.
Bibliographic data for series maintained by JE Lee ().

 
Page updated 2021-12-08
Handle: RePEc:ris:eaerev:0250