Learning the Wealth of Nations

Francisco J. Buera; Alexander Monge-Naranjo; Giorgio E. Primiceri

doi:10.3982/ECTA8299

Learning the Wealth of Nations

Francisco J. Buera^*, Alexander Monge-Naranjo, Giorgio E. Primiceri

^*Corresponding author for this work

Economics

Research output: Contribution to journal › Article › peer-review

72 Scopus citations

Abstract

We study the evolution of market-oriented policies over time and across countries. We consider a model in which own and neighbors' past experiences influence policy choices through their effect on policymakers' beliefs. We estimate the model using a large panel of countries and find that it fits a large fraction of the policy choices observed in the postwar data, including the slow adoption of liberal policies. Our model also predicts that there would be reversals to state intervention if nowadays the world was hit by a shock of the size of the Great Depression.

Original language	English (US)
Pages (from-to)	1-45
Number of pages	45
Journal	Econometrica
Volume	79
Issue number	1
DOIs	https://doi.org/10.3982/ECTA8299
State	Published - Jan 2011

Keywords

Dynamic of policies
Economic growth
Learning
Market-oriented policies
Neighborhood effects

ASJC Scopus subject areas

Economics and Econometrics

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

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10.3982/ECTA8299

Cite this

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Learning the Wealth of Nations

Abstract

Keywords

ASJC Scopus subject areas

UN SDGs

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