On the probability distribution of economic growth
2011 (English)In: Journal of Applied Statistics, ISSN 0266-4763, E-ISSN 1360-0532, Vol. 38, no 9, 2023-2041 p.Article in journal (Refereed) Published
Three important and significantly heteroscedastic gross domestic product series are studied. Omnipresent heteroscedasticity is removed and the distributions of the series are then compared to normal, normal mixture and normal-asymmetric Laplace (NAL) distributions. NAL represents a skewed and leptokurtic distribution, which is in line with the Aghion and Howitt  model for economic growth, based on Schumpeter's idea of creative destruction. Statistical properties of the NAL distributions are provided and it is shown that NAL fits the data better than the alternatives.
Place, publisher, year, edition, pages
2011. Vol. 38, no 9, 2023-2041 p.
The Aghion-Howitt model, asymmetric innovations, mixed normal-asymmetric Laplace distribution, kernel density estimation, method of moments estimation
Probability Theory and Statistics
IdentifiersURN: urn:nbn:se:su:diva-74045DOI: 10.1080/02664763.2010.545110ISI: 000298921300018OAI: oai:DiVA.org:su-74045DiVA: diva2:506688
authorCount :22012-02-292012-02-282012-02-29Bibliographically approved