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Middle East and Central Asia > Saudi Arabia

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  • Type: Journal Issue x
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Cover IMF Working Papers
The Impact of U.S. Economic Growthon the Rest of the World: How Much Does it Matter?
Mr. Athanasios Vamvakidis
and
Mr. Vivek B. Arora
This paper provides a quantitative assessment of the impact of economic growth in the United States on growth in other countries. Using panel data estimation, the paper finds a significant positive impact of U.S. growth on growth in the rest of the world, especially developing countries, during the past few decades. The evidence suggests that the impact of U.S. growth on other countries can be explained by the significance of the United States as a global trading partner. The paper provides estimates of the direct impact of trade with the United States on growth in several individual countries.
Keywords:
WP; trading partner; world growth; trade effect; Economic growth; international trade; trading-partner role; role of the United States; trade linkage; U.S. real; Latin American country; trade diversification; trading partner growth; a number of country; inflation rate; significance of the United States; Exports; Government consumption; Population growth; Trade in goods; Asia and Pacific