Sectorial Macroeconomic Interdependencies: Evidence for Latin America, East Asia and Europe
IMF Working Papers, January 1, 1999
Source details
- Canonical URL
- Sectorial Macroeconomic Interdependencies: Evidence for Latin America, East Asia and Europe
Other formats
Bibliographic details
- Authors: Norman Loayza, J. Humberto Lopez, Angel J. Ubide
- Published: January 1, 1999
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451842760.001
Summary
- Paper analyzes common economic patterns across countries and economic sectors in Latin America, East Asia and Europe for the period 1970–94.
- Uses an error-components model that decomposes real value added growth in each country into:
- common international effects,
- sector-specific effects,
- country-specific effects.
- Main empirical findings:
- Significant comovements in the European and East Asian samples.
- In the Latin American sample, country-specific components are more important than common patterns.
- Results are robust to different sub-sample time spans and different sub-sample country groups.
Methodology
- Estimation approach: error-components model applied to real value added growth series.
- Decomposition targets:
- international common effects,
- sector-specific effects,
- country-specific effects.
- Geographic samples: Latin America, East Asia, Europe.
- Time span analyzed: 1970–94.
Key Findings and Evidence
- Comovement patterns:
- Europe: significant comovements across sectors and countries.
- East Asia: significant comovements across sectors and countries.
- Latin America: stronger role for country-specific components relative to common international or sectoral effects.
- Robustness:
- Findings hold across different sub-sample time spans.
- Findings hold across different sub-sample country groups.
Publication and Metadata
- Authors: Norman Loayza, J. Humberto Lopez, Angel J. Ubide
- Date: January 1, 1999
- Series: Working Paper No. 1999/011
- Issue: 011
- Volume: 1999
- Pages: 38
- DOI: https://doi.org/10.5089/9781451842760.001
- Stock No: WPIEA0111999
- ISBN: 9781451842760
- ISSN: 1018-5941
- Subjects and keywords include: Agricultural sector, Economic integration, Economic sectors, Industrial sector, Monetary unions, Production, Production growth, Services sector, Agricultural sector, Asia and Pacific, Central America, Central American country, core country, countries in Latin America, country, Currency Areas, East Asia, Eastern Europe, Error Components Models, Europe, Industrial sector, International Comovements, Latin American country, Monetary unions, Pacto Andino country, Production growth, production structure, reference country, Services sector, WP.
Source: IMF Working Papers landing page for "Sectorial Macroeconomic Interdependencies: Evidence for Latin America, East Asia and Europe" (January 1, 1999).