Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/163159 
Year of Publication: 
2017
Series/Report no.: 
ADBI Working Paper No. 660
Publisher: 
Asian Development Bank Institute (ADBI), Tokyo
Abstract: 
Certain stylized facts are common among successful economic latecomers: an inverse U-shaped gross domestic product and capital per capita growth rate, high growth rates during the catch-up period, and rapid structural changes. This paper, for the first time, proposes a general equilibrium framework to document the catch-up cycle that a successful latecomer is likely to experience. We argue that technology adoption and imitation, and the diminishing marginal returns to capital are the two driving forces of the catch-up cycle. The technological gap and speed/efficiency of technological catching-up are two fundamental factors for successful catching-up. This paper concludes with a case study for the People's Republic of China and sheds light on the different policy choices in various stages of the catch-up cycle.
Subjects: 
Economics
China, People's Republic of
JEL: 
E13
E60
O11
Creative Commons License: 
cc-by-nc-nd Logo
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.