Publication Type

Working Paper

Version

publishedVersion

Publication Date

7-2003

Abstract

This paper critically reexamines the belief, currently gathering strength in the literature, that economic development depends on good luck rather than on good policy, and that Prometheus is “unchained by chance”. While it is impossible to disprove the role of luck in growth, we argue that luck is endogenous, and good luck is a function of good policy. Luck favours those who strive. Again contrary to common belief, we show that resurgent Asian economies have endured more, not less, than their fair share of economic volatility. They learned their lessons by success and failures, and luck is endogenous through learning-by-investing.

Keywords

Asia, Luck, Growth, Learning-by-investing

Discipline

Asian Studies | Growth and Development

Research Areas

Macroeconomics

First Page

1

Last Page

21

Publisher

SMU Economics and Statistics Working Paper Series, No. 15-2003

City or Country

Singapore

Copyright Owner and License

Authors

Comments

Published in Journal of Policy Modeling, 2004, https://doi.org/10.1016/j.jpolmod.2004.02.003

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