The Chilean Output Gap

 
Author/Editor: Magud, Nicolas E. ; Medina, Leandro
 
Publication Date: January 01, 2011
 
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Summary: This paper estimates the potential output (and the output gap) in Chile using several different methodologies. After a structural brake in 1998, the average growth rate of potential output in Chile declined from over 7 percent to 3-4 percent in the aggregate economy, but to less than 2 percent in the natural resource sector. The contributions to aggregate potential output growth of the natural resource sector and the non-natural resource sector are estimated, finding that the contribution to growth of the natural resource sector is non-linear-increasing during the 1990s, declining during the 2000s, and turning negative in the mid-2000s-despite the monotonic decrease in the share of natural resource output in aggregate output.
 
Series: Working Paper No. 11/2
Subject(s): Chile | Economic growth | Economic models | Employment | Natural resources | Production

Author's Keyword(s): Potential output | output gap | natural resouces.
 
English
Publication Date: January 01, 2011
Format: Paper
Stock No: WPIEA2011002 Pages: 14
Price:
US$18.00 (Academic Rate:
US$18.00 )
 
 
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