The book Atlas of Economic Complexity proposes an index that measures how complex an economy is. The index is based on the hypothesis that what a country produces and exports is a measure of its economic complexity. They argue that in order to produce certain products, specific knowledge is necessary and that knowledge has to be in that society and must be channeled efficiently (Hidalgo and Hausmann, The Atlas of Economic Complexity 2011). In their book they suggest that their complexity index is an accurate predictor of future GDP per capita. According to the book, an economy has to have a certain infrastructure, level of education, efficient markets and organizations that can take advantage of the accumulated knowledge of a country (Hidalgo and Hausmann, The Atlas of Economic Complexity 2011). This paper will attempt to determine if in fact countries with a high economic complexity index had a greater GDP per capita growth over a 10 year period (from 1990 to2000). Additionally, this paper will control those results with a coefficient of GDP per capita for the year 1990 (at 2005 prices) to determine if countries with low initial income per capita grew faster than those with a higher income per capita (or vice versa) over that same 10 year period. This will allow the paper to comment on economic convergence as well as economic complexity.
The main purpose of the book The Atlas of Economic Complexity is to convey the idea that the “wealth of nations is driven by productive knowledge. Individuals are limited in the things they can effectively know and use in production so the only way a society can hold more knowledge is by distributing different chunks of knowledge to different people” (H.G. 2011). ...
... middle of paper ...
...a.mit.edu/media/atlas/pdf/HarvardMIT_AtlasOfEconomicComplexity_Part_I.pdf, Boston: Harvard Kennedy School, 2011.
Rodrik, Dani. "The Future of Economic Convergence." Harvard Kennedy School, 2011: http://www.hks.harvard.edu/fs/drodrik/Research%20papers/The%20Future%20of%20Economic%20Convergence%20rev2.pdf.
Sachs, Jeffrey, and Andrew Warner. "Economic Convergence and Economic Policies." NBER Working Paper Series, 1995: http://www.nber.org/papers/w5039.pdf.
The Economist. "Diversity training." The Economist, February 4, 2010: http://www.economist.com/node/15452697?story_id=15452697.
Wooldridge, Jeffrey. Introductory Econometrics: A modern approach. South-Western Cengage learning, 2012.
World Bank . World Development Indicators. n.d. http://databank.worldbank.org/data/views/variableSelection/selectvariables.aspx?source=world-development-indicators (accessed 11 25, 2013).
Need Writing Help?
Get feedback on grammar, clarity, concision and logic instantly.Check your paper »
- Exports Argentina is ranked #57 with an Economic Complexity Index (ECI) of 0.30442. Argentina is the top exporter of Ground Nut meal, sorghum, bran, soybean oil, soybean meal and vegetable tanning extracts. Exports in Argentina averaged 1598.46 USD Million from 1957 until 2014, then reached its peak of 8501 USD Million in May of 2013 and reached its lowest count of 55 USD Million in November of 1961. When it comes to exports, Argentina has an array of different exports and can be considered well diversified.... [tags: Argentina, Economics, Technology, Soybean]
1272 words (3.6 pages)
- Long-Run growth in Latin America and the Caribbean has been slowly decreasing due to the fact that the LAC (Latin America and the Caribbean) has not been able to benefit significantly from the advantages of Economic Diversification and Complexity. Economic Diversification and complexity relates to the specific assortment of products and how sophisticated they are. Right now Economic Diversification and Complexity is quite low, and the results over the past decade have not been in their favor. We even see that another factor that is also hindering their growth involves inadequate stability.... [tags: Economics, Investment, Economy, Economies]
716 words (2 pages)
- The Extraordinary Potential of Man Revealed in Atlas Shrugged Freewill is the tenet on which men founded the United States of America, and the glory of "America the Beautiful" stems from the unlocked potential of its people. The callused hands of the laborers sip from the cup of American wealth, not the lazy plowman demanding government help. The inventor's mind synthesizes, theorizes, and designs the American dream, not the indifferent, insolent mechanic. The steel will of the industrialists propels the nation to greater heights, not the selfish arrogance of the beggar.... [tags: Atlas Shrugged]
1350 words (3.9 pages)
- The Powerful Message of Ayn Rand’s Atlas Shrugged Capitalism, according to John Galt, is "mutual trade to mutual advantage," (Rand Atlas Shrugged 989) or as Adam Smith put it: "[trade] by mutual consent and to mutual advantage." In true capitalism, the economy is strictly separated from the state, just as there is a separation between church and state in the USA. This basic tenet of capitalism describes the only economic system that can be morally justifiable. Communism, fascism, socialism, dictatorships and "regulated capitalism" are all systems that breach upon an individual's basic rights, while capitalism respects and recognizes a man's right to control the product of his... [tags: Atlas Shrugged Essays]
1220 words (3.5 pages)
- The Parasites of Atlas Shrugged In this world, and in the world of Ayn Rand’s imagination, there are two kinds of people: those who live to create, and those who wish to live as parasites feeding off the benefits of those creations. In Atlas Shrugged, she explores what might happen when the creators of the world stop creating; the parasites are left to try to live on their own. The novels that Miss Rand writes always reflect this sort of thing. She writes of the battle between the two types of people as some write of the battles between good and evil.... [tags: Atlas Shrugged]
1357 words (3.9 pages)
- The Triumphant Characters of Anthem, The Fountainhead and Atlas Shrugged In reading the fiction works of Ayn Rand, one becomes quickly aware of her use of characterization to display a set of mores that apply to a group in today's society she is describing. In Anthem, for instance, even the names hold significance toward the point of the story. The name Liberty 5-3000, a gross smear of the philosophy of her world, becomes The Golden One, and then Gaea in the eyes of the protagonist. This use of a name, a face, to convey the message of a group becomes a common thread through all four of Miss Rand's novels.... [tags: Atlas Shrugged]
1256 words (3.6 pages)
- Objectivism in Atlas Shrugged, Anthem, The Fountainhead, and We the Living Warning - this paper is not formatted ! Who Is I. In Atlas Shrugged, Ayn Rand provides a well-written explanation of objectivism in a monumental novel about those who hold the world on their shoulders. Her characters are a myriad of individuals, ranging from the highest achievement possible: a human, to one of the most horrid creatures on this planet: a once-human imbecile. She gives the reader insight into the psyche of society and the motivations behind our actions.... [tags: Atlas Shrugged]
1924 words (5.5 pages)
- Atlas Shrugged - Iser and Bakhtin on the Closed Text The process of reading places the author, text, and reader into a dynamic relationship in which, through a fusion of the author's literary vision and the reader's creativity, the text is transformed into an informative and enjoyable experience. This process is especially apparent in the novel form. As the theorist Wolfgang Iser states, a novel must be "conceived in such a way that it will engage the readers imagination in the task of working things out for himself, for reading is only a pleasure when it is active and creative" (Iser 51).... [tags: Atlas Shrugged Essays]
2992 words (8.5 pages)
- Book Review: ATLAS SHRUGGED by Ayn Rand Taggart Transcontinental is not to be excluded on the effects of declining economic situations experienced by the whole country. Dagny Taggart, the vice president in-charge of operations, upon her visit to the Rio Norte Line to inspect the damages it maintains, goes straight to her brother’s office and reports that the line needs immediate attention and for that she has already ordered Rearden Metal to be used for that line. Jim denounced her decisions and actions not just because she does not have authority to make those orders but also Rearden Metal is not yet tried before by others.... [tags: essays research papers]
2332 words (6.7 pages)
- Atlas In Greek Mythology, the Titans were a race of giants. Atlas was the strongest of all the titans. His father was titan Iapetus and his mother was the Sea Nymph Clymene. His brothers were Prometheus and Cronus. Atlas was the father of the Hesperides (Daughters of the Evening,) the Hyades, and the Pleiades. He was also the king of the legendary Atlantis. In etymology Atlas means “bearer'; or “endurer.'; An image of Atlas is a person with the world on his back. Also a book of maps is called an atlas.... [tags: essays research papers]
580 words (1.7 pages)