A FALLACY IN CAUSALITY RESEARCH ON GROWTH AND CAPITAL ACCUMULATION

Authors
VANHOUDT P
Citation
P. Vanhoudt, A FALLACY IN CAUSALITY RESEARCH ON GROWTH AND CAPITAL ACCUMULATION, Economics letters, 60(1), 1998, pp. 77-81
Citations number
8
Categorie Soggetti
Economics
Journal title
Economics letters → ACNP
ISSN journal
01651765
Volume
60
Issue
1
Year of publication
1998
Pages
77 - 81
Database
ISI
SICI code
0165-1765(1998)60:1<77:AFICRO>2.0.ZU;2-0
Abstract
In this paper we argue that recent causality research on economic grow th and accumulation rates dismisses the constant returns neoclassical growth models based on a fallacy. We argue that the finding of no or n egative Granger causality is perfectly consistent with Solow-type of m odels with exogenous saving. (C) 1998 Elsevier Science S.A.