Towards an empirically adequate model of economic growth

The current literature is only slowly moving towards an empirically adequate theory (or collection of models) that is adequate to explain the entire range of facts about developing country growth. That is, neither the traditional Solow nor the augmented neo-classical model nor the "endogenous" growth have proved to be particularly fruitful in explaining the variety of growth experiences (except perhaps in the most mechanical of decompositions of proximate causes of growth).

In the World Bank publication headed by Roberto Zagha on the Lessons of the 1990s I contributed two chapters:

      1. why has all of the reform in Latin America produced so little growth (figure)?
      2. why was the "transition recession" in the FSU/EE countries so deep and so long?
      3. why has India grown so fast for so long (and in particular what accelerated its growth)?