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In the year to September, net exports accounted for more than 30% of America's total GDP growth in 2007.
By some estimates, Japan's exports to China and capital spending linked to its export industries accounted for one-third of Japan's total GDP growth last year.
Morgan Stanley estimates that as much as two-fifths of Asia's total GDP growth last year came from exports of IT to America.
A recent paper* by Barry Bosworth and Susan Collins, of the Brookings Institution in Washington, DC, explores the sources of expansion in both countries, breaking down total GDP growth into increases in inputs of labour and capital, and gains in TFP.
It also said revisions to previous estimates of growth in construction meant that total GDP growth in the first quarter of this year could be raised next week from 0.4 per cent to 0.5 per cent and growth in the third quarter from 0.8 per cent to 0.9 per cent.
These are the reference scenarios of a 7% total GDP growth rate that will ensure the MDGs of reducing poverty by 50% of the 2,000 value by 2015.
Similar(51)
They are characterized by high deficits (Ireland's is almost a third of its total GDP), low growth, and a flirtation with the prospect of having their public debt downgraded, which would make it harder for them to raise money to service those debts and deficits, and pay for their public services.
The trends of the variables include CO2 emission, fossil fuel consumption as a percentage of total energy consumption, GDP growth, population growth, and renewable energy consumption as a percentage of total energy consumption.
Gains from trade can be characterised by improved labor supply, expanded production, diffusion of innovation, competitive pressures, economic restructuring, etc., leading to total factor productivity and GDP growth (Lakshmanan, 2011).
The study by Fritz Breuss mentioned earlier suggests that over the past ten years membership brought extra GDP growth totalling about 4.5%.
Lazy economists compare this number with the 1.6% growth in total GDP per man-hour in Europe, exaggerating the productivity gap.Another problem is that American statisticians count firms' spending on software as investment; in Europe it is treated as intermediate consumption.
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Justyna Jupowicz-Kozak
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