Openness and growth : a time series, cross-country analysis for developing countries

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Abstract
This paper compares the association between many popular proxies for openness and the rate of GDP growth, as well as the results from cross-section and panel estimation, controlling for country effects. The results suggest that using period averages versus annual data critically affects the strength of the association between openness and growth. The paper reviews the empirical literature on openness and technological change. It discusses the dataset for this paper and the empirical specification, while also presenting the main results. The sensitivity of the results to the inclusion of both macroeconomic variables and country size are also tested. It concludes with an agenda for future research.
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