Complex economies have a lateral escape from the poverty trap
Economics
2018-01-09 v1
Abstract
We analyze the decisive role played by the complexity of economic systems at the onset of the industrialization process of countries over the past 50 years. Our analysis of the input growth dynamics, based on a recently introduced measure of economic complexity, reveals that more differentiated and more complex economies face a lower barrier (in terms of GDP per capita) when starting the transition towards industrialization. Moreover, adding the complexity dimension to the industrialization process description helps to reconcile current theories with empirical findings.
Keywords
Cite
@article{arxiv.1511.08622,
title = {Complex economies have a lateral escape from the poverty trap},
author = {Emanuele Pugliese and Guido L. Chiarotti and Andrea Zaccaria and Luciano Pietronero},
journal= {arXiv preprint arXiv:1511.08622},
year = {2018}
}
Comments
12 pages, 5 figures