Notes

Economic Growth

Prof. Dr. Jürgen Bitzer

Carl von Ossietzky University Oldenburg,

Institute of Economics

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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Notes
Überblick

1 Economic Growth: An Introduction

1.1 How has poverty developed in the last 20 years?
1.2 Why is economic growth important?
1.3 Some stylised facts
1.4 Distribution of income

2 Questions to be answered

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction

Notes

1 Economic Growth: An Introduction

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.1 How has poverty developed in the last 20 years?

Notes

In the last 20 years, the proportion of the world population living in

extreme poverty has:
1 increased by 50%,
2 increased by 25%,
3 remained the same,
4 decreased by 25%,
5 decreased by 50%.

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.1 How has poverty developed in the last 20 years?

Notes

Ending global poverty by 2030 is:

1 very unlikely to unlikely,
2 neiter likely nor unlikely,
3 rather likely to very likely.

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes
Statistics on child mortality

Correlation between child mortality (under 5 years per 1000

birth) and GDP per capita: -0.4880
Distribution of child mortality (under 5 years per 1000 birth)
over time
Measure 1990 2017
Mean 72.6 29.0
Skewness 1.239137 1.386973
Kurtosis 3.761818 4.225991
Maximum 328.2 125.5
Minimum 6.3 1.8

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes
Statistics on life expectancy

Correlation between life expectancy and GDP per capita:

0.5932
Distribution of life expectancy over time
Measure 1960 2017
Mean 53.39 72.28
Skewness -.0851703 -.573155
Kurtosis 1.773951 2.554842
Maximum 73.54976 84.68049
Minimum 28.21161 52.24000

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.2 Why is economic growth important?

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.2 Why is economic growth important?

Notes
Statistics on poverty share (less than 1.90 USD a day)
Correlation between poverty share and GDP p.c.: -0.4820
Countries with a positive development of their poverty share:
Armenia, Bangladesh, Belarus, Bulgaria, Bolivia, Brasil, Columbia,
Costa Rica, Dominican Republic, Ecuador, Georgia, Ghana,
Honduras, India, Iran, Kyrgyz Republic, Liberia, St. Lucia, Sri
Lanka, Moldova, Mexico, Mongolia, Panama, Peru, West Bank and
Gaza, Rwanda, Slovenia, Thailand, Turkey, Uganda, Ukraine,
Vietnam, Kosovo
Distribution of poverty share over time
Measure 1998 2016
Mean 18.7 8.03
Skewness 1.675329 2.663209
Kurtosis 5.593215 9.190296
Maximum 84.12 70.3
Minimum 0 0

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.3 Some stylised facts

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.3 Some stylised facts

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.4 Distribution of income

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.4 Distribution of income

Notes

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 1 Economic Growth: An Introduction
1.4 Distribution of income

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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1 Economic Growth: An Introduction

1.4 Distribution of income

Notes

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 1 Economic Growth: An Introduction
1.4 Distribution of income

Notes
Distribution of GDP per capita over time

Measure 1960 2017

Mean 4207.526 18362.66
Skewness 1.535105 1.165164
Kurtosis 4.764954 3.54667
Maximum 19473.69 75916.08
Minimum 368.3115 727.2895
1% percentile 407.9271 760.4691

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2 Questions to be answered

Notes

2 Questions to be answered

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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 2 Questions to be answered

Notes
The Questions to be answered

Why are some countries rich and others are poor?

What are proximate causes for economic growth?
What are the fundamental reasons for economic growth?

Prof. Dr. Jürgen Bitzer Carl von Ossietzky University Oldenburg, Institute of Economics
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Notes