Quantitative Effects of Growth Policies: An overview

Author Name MORIKAWA Masayuki  (Vice Chairman & Vice President, RIETI)
Creation Date/NO. February 2015 15-P-001
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Although the importance of a growth strategy is undisputed, the quantitative effects of individual policy measures on economic growth rate rarely have been reported. This paper, from the viewpoint of the users of academic research, overviews the quantitative impacts of frequently advocated, growth-enhancing policies based upon statistical data and past empirical studies. First, upgrading economic fundamentals such as the quality of human capital and innovation capability greatly contributes to economic growth, but a long period of time is necessary for these policies to be fully materialized. Second, it is also important to reduce the negative effects of factors affecting economic growth. Third, it is desirable to reduce macroeconomic instability and policy uncertainties. For the purpose of contributing to policy planning, this paper boldly presents "guesstimates" on the effects of various growth policies. I will continue to improve the paper by incorporating comments and criticisms.